Oil Prices Surge Nearly 6%, Concerns Over Middle East Escalation Rise
NEW YORK - Global oil prices surged sharply at the close of trading on Thursday (26/3/2026) US time, or Friday (27/3/2026) WIB. The increase occurred as hopes for an end to the Middle East conflict faded.
Citing Reuters, Brent crude oil rose $5.79 to $108.01 per barrel, a 5.7% increase. West Texas Intermediate (WTI) crude oil climbed $4.16 to $94.48 per barrel, strengthening 4.6%.
The rise was triggered by uncertainty in negotiations between the United States and Iran. Hopes for a swift ceasefire no longer appear viable.
US Special Envoy Steve Witkoff stated that Washington had sent a “15-point action list” to Iran as a basis for talks. The proposal aims to end the war.
A senior Iranian official described the proposal as “one-sided and unfair”. This statement contradicts claims by US President Donald Trump.
Trump claimed that Iran had given permission for 10 oil tankers to cross the Strait of Hormuz. This move was described as a “gesture of goodwill”.
Head economist at Matador Economics, Timothy Snyder, assessed that the market is gripped by uncertainty due to conflicting information.
“There is confusion and frustration regarding the truth of the information coming from the US and Iran. Investors are returning to safer assets to preserve capital,” Snyder said.
Military tensions are also rising. The US is reportedly preparing to deploy thousands of air force personnel to the Middle East. This step opens options for a ground attack on Iran.
The Iran-allied Houthi group in Yemen has declared readiness to attack shipping lanes in the Red Sea. This action is described as a show of solidarity.
“Ongoing military escalation, including troop deployments and new attacks, as well as limited tanker movements under Iran’s strict conditions, continues to weigh on the global energy market,” said MUFG analyst Soojin Kim.
The war has nearly halted shipments through that route. The International Energy Agency described the situation as the largest oil supply disruption.
Since the conflict began, Brent prices have risen nearly 50%. WTI prices have increased around 41%.
The US 15-point proposal was sent via Pakistan. Its contents include the elimination of Iran’s highly enriched uranium stockpile, cessation of enrichment, restrictions on the ballistic missile programme, and reduction of support for regional allies.
Although diplomatic channels remain open, Iranian officials assess that the proposal does not meet minimum requirements. US and Israeli interests are seen as overly dominant.