Crude Oil Gains as Supply Risks Mount

2026-08-31 20:59 By Isabela Couto 1 min. read

Crude oil futures climbed above $86 a barrel on Monday as tensions escalated in the Middle East.

US forces struck two Iranian rocket launchers on Larak Island, marking a return to combat between the US and Iran after roughly a month.

President Trump reportedly said, “We’re going to hit them very hard,” after Iran said it attacked two US bases in Jordan in response.

Trump also extended military threats to Kharg Island, Iran’s main oil export terminal.

Strikes on refineries in the Middle East and Russia have further constrained global refining capacity, pushing refined-product margins to new highs.

The US SPR has been drawn close to minimum operational levels amid increased crude exports.

Meanwhile, a supertanker caught fire after hitting two naval mines in the southern Strait of Hormuz, according to Iranian state media.

Asian importers, including China, Japan and South Korea, have turned to suppliers as far away as Argentina to offset supply losses from the Middle East.



News Stream
Crude Oil Gains as Supply Risks Mount
Crude oil futures climbed above $86 a barrel on Monday as tensions escalated in the Middle East. US forces struck two Iranian rocket launchers on Larak Island, marking a return to combat between the US and Iran after roughly a month. President Trump reportedly said, “We’re going to hit them very hard,” after Iran said it attacked two US bases in Jordan in response. Trump also extended military threats to Kharg Island, Iran’s main oil export terminal. Strikes on refineries in the Middle East and Russia have further constrained global refining capacity, pushing refined-product margins to new highs. The US SPR has been drawn close to minimum operational levels amid increased crude exports. Meanwhile, a supertanker caught fire after hitting two naval mines in the southern Strait of Hormuz, according to Iranian state media. Asian importers, including China, Japan and South Korea, have turned to suppliers as far away as Argentina to offset supply losses from the Middle East.
2026-08-31
Oil Rises on Fresh US-Iran Strikes
Crude oil climbed above $85 a barrel on Monday as tensions escalated in the Middle East, with the US and Iran exchanging strikes for the first time in roughly a month and concerns growing over the security of the Strait of Hormuz. US forces targeted Iranian military assets after detecting preparations to deploy mines in the waterway, while Iran responded with missile and drone attacks on US facilities in Jordan. Iranian media also reported that a tanker had struck two mines and that authorities seized a bulk carrier near Bandar Abbas, although US Central Command said no vessels had hit mines in Hormuz. The developments have heightened fears that further military escalation could disrupt shipping and tighten global energy supplies. Oil prices are now around 1% higher in August, following a 21.8% surge in July. Despite the risks, an estimated 6–8 million barrels of crude continue to transit Hormuz daily, mainly from other Gulf producers.
2026-08-31
Crude Oil Rallies on Fresh US-Iran Strikes
Crude oil rose more than 3% to above $86 a barrel on Monday as tensions in the Middle East escalated, with the US and Iran exchanging strikes for the first time in roughly a month and new concerns emerging over shipping through the Strait of Hormuz. US forces targeted Iranian rocket launchers that were reportedly preparing to deploy mines in the strategic waterway, while Iran claimed attacks on US bases in Jordan. Tehran also reported that a supertanker attempting to cross Hormuz’s southern route had struck two mines, although the incident has not been independently confirmed. Oil prices have gained around 2% in August, following a sharp 22% increase in July, as markets continue to react to shifting prospects for an end to the conflict. Washington’s economic pressure campaign and naval blockade have disrupted Iranian exports, although traders estimate that around 6–8 million barrels of crude per day, mainly from other Gulf producers, continue to transit Hormuz.
2026-08-31