Oil Prices Rise Amid Middle East Conflict

Global oil prices increased on Wednesday, March 11, following ongoing military actions between Iran, Israel, and the United States in the Middle East. Brent crude, the international benchmark, traded at approximately $91 per barrel, while West Texas Intermediate, the U.S. benchmark, reached $87 per barrel. This surge is driven by concerns over disruptions to oil and natural gas shipments through the Strait of Hormuz, a critical chokepoint for one-fifth of the world's oil supply.

U.S. gasoline prices rose for the eleventh consecutive day, reaching a national average of $3.58 per gallon, a 20% increase for drivers. Diesel prices also climbed significantly, standing at $4.83 per gallon, marking a 28% increase since the conflict began. The U.S. military reported attacking 16 Iranian mine-laying vessels near the Strait of Hormuz, further escalating tensions and impacting shipping safety.

Stock markets reacted divergently; Asian indexes generally rose, with Japan and South Korea up about 1% and Taiwan surging 4.1%. Conversely, European stocks, represented by the Stoxx 600, slipped just under 1%, and U.S. S&P 500 futures indicated a 0.2% decline.