Brent oil prices surge above $114 as Iran reportedly strikes US naval vessel

Benchmark Brent crude prices rose sharply on May 4, after Iranian forces reportedly struck a US naval vessel in the Strait of Hormuz.

The prices exceeded $114 per barrel, which marks an increase of 3.25% compared with the previous trading session’s close, Caliber.Az reports, citing Investing.com.

After its peak, prices eased back to around $112.

Analysts attribute the rise primarily to a renewed escalation in the Middle East.

Earlier, Iranian forces said the US naval vessel attempted to pass through the Strait of Hormuz, ignoring warnings from Tehran.

Against this backdrop, concerns among market participants over a widening regional conflict have intensified.

Experts warn that further escalation could place additional pressure on global supply chains, particularly if access through the Strait of Hormuz remains restricted for an extended period.

Some analysts cited in the report noted that prolonged instability in the region could significantly disrupt global oil supply.

Investment bank Goldman Sachs has previously warned that, in an extended conflict scenario, Brent prices could potentially reach $150 per barrel by the end of the year.

By Bakhtiyar Abbasov