Crude oil prices have rallied sharply in recent weeks, with Brent crude climbing to around $96-$99 per barrel, its highest level in nearly one and a half months, while US WTI crude has moved above $90 per barrel. The strength has also been reflected in MCX crude oil futures.
The primary driver behind the rally has been renewed tensions between the United States and Iran, which have revived concerns over global oil supplies and tanker movements through the Strait of Hormuz, a key route for global energy trade. While actual supply losses remain limited, fears of disruptions have led traders to build a sizeable geopolitical risk premium into prices. At the same time, resilient demand from major economies and expectations of stable energy consumption have further supported the market.
