FX.co ★ Crude Oil Hits $86

WTI crude oil futures surged more than 6% to $86 per barrel on Friday, putting them on course for their largest weekly gain since 2022 as the intensifying conflict in the Middle East severely disrupted global energy flows. Qatar’s Energy Minister, Saad al-Kaabi, told the Financial Times that Gulf exporters would halt production within days if tankers were unable to transit the Strait of Hormuz. This critical chokepoint typically carries around 20 million barrels per day of crude oil and refined products. At the same time, regional tensions remained high after Abbas Araghchi stated that Iran was not seeking negotiations. The United States signaled potential measures to ease market pressure, including a possible release of crude from its strategic reserves and a temporary waiver allowing India to purchase certain Russian crude cargoes already at sea. Saudi Arabia, meanwhile, raised official selling prices for Asian buyers and rerouted some shipments through Red Sea ports to avoid the Strait of Hormuz.