Oil prices rise sharply due to the situation in the Middle East

Oil prices rise sharply due to the situation in the Middle East

Due to the tense geopolitical situation in the Middle East, oil prices recorded their largest daily increase in 40 years, approaching $120.
On March 9, Brent crude futures for May delivery on the ICE London exchange rose by 28.92 percent to $119.50 per barrel. Later, the growth rate slowed down and stabilized around $116.

The sharp rise in oil prices was caused by the military operation of the United States and Israel against Iran on February 28, Iran's retaliatory missile and drone strikes, and the closure of the Strait of Hormuz. About 20 percent of the world's oil production is transported through the Strait of Hormuz. According to analysts, if tensions continue, oil prices could even rise to $200 per barrel.