Oil Prices Surge Above $97 per Barrel Following Iran Missile Attacks Amid Middle East Tensions

The military conflict between Iran and Israel has triggered a significant surge in global oil prices, with Brent crude rising by 4.62% to reach $97.39 per barrel. Meanwhile, U.S. crude oil West Texas Intermediate (WTI) prices increased by 4.35%, settling at $94.48 per barrel. Heightened tensions in the Middle East are fueling fears that crude prices may cross the $100 per barrel mark, which could lead to further inflation, including in Nepal. (Kathmandu, June 8)

The Iranian missile strike on Israel and Israel’s subsequent aerial counterattack have caused a sharp rise in crude oil prices in international markets. As Asian markets opened on Monday, this rapid volatility in the energy sector has added new concerns to the global economy. This missile attack is the first since the sensitive ceasefire agreement between Iran, Israel, and the United States was reached in April, prompting panic buying due to fears of supply disruptions in the Middle East.

According to international reports at the time of writing, Brent crude oil prices have increased by 4.62%, reaching $97.39 per barrel. U.S. crude WTI prices have also risen by 4.35%, closing at $94.48 per barrel. Alongside crude, prices for other petroleum products have notably increased: gasoline surged by 3.36% to $3.14 per gallon, while heating oil rose 4.12% to $3.73 per gallon. However, natural gas prices fell slightly by 1.59%. After hovering around $95 per barrel over the past week, oil prices have now exceeded $97 due to renewed military tensions. Analysts warn that if the Middle East conflict persists, prices could surpass $100 per barrel. This upward price shift is expected to impact import-dependent economies such as Nepal directly, causing consumer prices and inflation to rise further.