Brent Oil Crosses $90 A Barrel, Records Biggest Weekly Gain Since Pandemic

Brent crude oil prices have surged past $90 per barrel, marking one of the most dramatic weekly gains since the early days of the COVID-19 pandemic, as the escalating U.S.-Israel conflict with Iran severely disrupts global energy supplies. On Friday, March 6, 2026, Brent futures settled around $92.69 per barrel after climbing more than 8% in the session, with intraday highs approaching $94. This represents a weekly increase of roughly 25-28% from pre-conflict levels near $72-73, driven by fears of prolonged supply shortages in the Middle East.

The sharp rally stems directly from the ongoing war, now in its second week following initial U.S. and Israeli strikes on Iran starting late February 2026. Key disruptions include the near-total halt of tanker traffic through the Strait of Hormuz, a critical chokepoint carrying about one-fifth of the world's daily oil supply. Iranian retaliatory actions, including drone and missile strikes on Gulf energy infrastructure and threats to shipping, have forced production cuts in several countries. Iraq has shut in around 1.5 million barrels per day due to storage constraints, while Qatar and others face similar issues with liquefied natural gas and crude exports paralyzed.

Analysts attribute the extreme volatility to a genuine supply shock rather than speculative trading alone. Citigroup estimates daily global crude losses of 7-11 million barrels amid the Hormuz closure, prompting warnings from figures like Qatar's energy minister that prices could climb toward $150 if the conflict persists. Barclays has suggested Brent could test $120 per barrel in a prolonged scenario. The surge echoes pandemic-era swings in 2020 but is fueled by geopolitical risk rather than demand collapse, with U.S. West Texas Intermediate crude also breaching $90 to settle near $90.90, posting its largest weekly gain in futures history dating back to 1983.

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Broader market impacts are already evident, with stock indices tumbling on inflation fears and central banks facing renewed challenges in balancing growth and price stability. Pump prices in major consuming nations, including the U.S., have risen sharply, adding to household and business costs. Efforts to diversify supplies—such as increased U.S. exports and potential waivers on certain sanctions—are underway, but short-term relief remains limited as the conflict shows no immediate signs of de-escalation.

The unprecedented weekly performance underscores the vulnerability of global energy markets to Middle East instability. While some producers outside the region may benefit temporarily from higher prices, the dominant narrative remains one of heightened risk, with traders bracing for further upside if disruptions continue into the coming weeks. Markets will closely monitor diplomatic developments and military updates over the weekend for the next direction in this volatile environment.

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