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1518 ET – Crude futures rise to their highest level in two-and-a-half years as the conflict in the Persian Gulf continues, keeping shipping through the Strait of Hormuz at a standstill and cutting off oil supply. WTI settles up 12% at $90.90 a barrel and Brent rises 8.5% to $92.69 a barrel. Weekly gains are 36% for WTI and 27% for Brent, the largest percentage increases on records back to 1983 and 1991, respectively. “Uncertainty is high and rising but based on all the available information at hand, it doesn’t look like the worst is behind us yet,” Amarpreet Singh of Barclays says in a note. “If this situation persists for another couple of weeks, Brent could potentially test $120 a barrel.” (anthony.harrup@wsj.com)

Oil Extends Gains As Persian Gulf Conflict Drags On

1147 ET – Oil futures extend gains with the Middle East conflict in its seventh day and no sign of the critical Strait of Hormuz being reopened to shipping. “We’re in a situation where the lack of clarity on the timing of what happens in the Strait of Hormuz is stoking a tremendous amount of fear in the market,” says Rebecca Babin of CIBC Private Wealth US. Production shut-ins by Iraq and Kuwait as their storage capacity fills up are fairly small, but may have taken the market by surprise coming so soon, Babin says. “I think they are down the road for the larger producers, but this was a big thing.” WTI is up 9.4% at $88.63 a barrel and Brent is up 6.4% at $90.87.(anthony.harrup@wsj.com)

Brent Crude Hits $90 A Barrel As Supply Worries Grow

0909 ET – Crude futures extend gains ahead of the weekend with Brent hitting $90 a barrel level for the first time since April 2024 as oil remains hemmed in by the de facto closure of the Strait of Hormuz. Citi analysts estimate the market is losing between 7 million and 11 million barrels a day of crude oil, and from 4 million to 5 million barrels a day of products, largely due to lack of flows through the strait. “We continue to see $80-$90 a barrel Brent for at least the next 1-2 weeks, before we see prices moderating in 2Q26,” they say in a note. “We assume that Hormuz flows gradually return in the latter half of March, in the base case of military operations winding down.” Brent is up 5.3% at $89.92 a barrel. WTI rises 8.2% to $87.67.(anthony.harrup@wsj.com)

Oil Stranded in Strait of Hormuz Has Few Routes Out

1344 GMT – Around 16 million barrels a day of crude oil is trapped as tanker traffic through the Strait of Hormuz stops, Vortexa analysis shows. Another route for the oil could be down Saudi Arabia’s East-West pipeline to the Red Sea port of Yanbu. This pipeline can theoretically move around 7 million barrels a day, but so far flows have been much lower, Vortexa’s Rohit Rathod writes. Another alternative is the Abu Dhabi Crude Oil Pipeline, which moves crude from Habshan to Fujairah. The pipeline could move around 1.5 million barrels a day, but operations have been disrupted by the conflict, Rathod says. Brent crude trades up 4.1% to $88.90 a barrel, while WTI jumps 6.7% to $85.93 a barrel. (adam.whittaker@wsj.com)