Strait of Hormuz disruption: War chokes Middle East supply, oil prices spike globally
As the Middle East conflict enters its third week, rising tensions are pushing global oil prices higher. Crude from the Middle East has seen the sharpest spike, becoming the world’s most expensive oil as disruptions to key supply routes continue. According to a Reuters report, S&P Global Platts assessed cash Dubai crude at $153.25 per barrel for May-loading cargoes on Monday, marking an all-time high and overtaking Brent’s previous peak of $147.50 per barrel recorded in 2008. The surge has also pushed Dubai’s premium to swaps to $56.01 per barrel, even as trading slows due to the US and Israeli war on Iran.
The spike in key benchmarks such as Dubai and Oman crude is significantly raising costs for Asian refiners, who rely on these grades to price millions of barrels imported into the region.
