Muscat: Oil prices jumped more than 7 percent today, rebounding sharply from steep losses in the previous session as the closure of the Strait of Hormuz rattled global energy markets. Brent crude futures climbed $6.56, or 7.26 percent, to $96.94 per barrel. US West Texas Intermediate crude rose $6.07, or 7.24 percent, to $89.92 per barrel.
According to Oman News Agency, the sudden closure of the Strait of Hormuz, a critical chokepoint for global oil transportation, has significantly impacted market dynamics. The strait, which sees a substantial percentage of the world's oil supply pass through daily, is crucial for energy exports from the Gulf region. The closure has heightened concerns over supply disruptions, leading to the sharp increase in oil prices.
Market analysts are closely monitoring the situation, as the strait's closure could have broader implications for global energy security. The rise in oil prices reflects the market's immediate reaction to potential supply constraints, underscoring the strategic importance of the Strait of Hormuz in the global oil supply chain.