Oil prices jump as US-Iran clashes raise Gulf supply fears

Oil prices surged to their highest levels in over a month on Friday, July 17, 2026, as escalating military strikes between the United States and Iran reignited fears of major supply disruptions from the Persian Gulf. The intensifying conflict has shattered a fragile June truce, threatening critical shipping lanes and regional energy infrastructure.

Brent crude futures settled at $88.10 per barrel, a gain of 4.59 percent, while U.S. West Texas Intermediate (WTI) futures rose 4.48 percent to $82.49. For the week, both benchmarks rallied more than 11 percent, marking their strongest weekly performance in months. The price surge reversed a recent period of market optimism that had been fueled by improving diplomatic prospects.

The rally followed a sixth consecutive night of U.S. airstrikes against Iranian military targets, including logistics infrastructure and maritime capabilities. U.S. Central Command stated that over 50,000 service members remain deployed across the Middle East. Iran retaliated on Friday with strikes on what it described as U.S. facilities across several countries, including Bahrain, Jordan, Kuwait, Oman, Qatar, and Syria. Notably, one attack damaged a power and...