Oil prices hit one-month high as US-Iran conflict threatens supply routes

Brent oil prices rose 2% to more than $90 per barrel on Monday, ‌July 20, 2026, as escalating United States-Iran hostilities in the Middle East restricted oil shipments through the Strait of Hormuz.

Brent crude futures climbed $2.09, or 2.37%, to $90.19 by 0241 GMT, touching the highest since June 11, extending gains after rising 15.9% last week, its biggest weekly gain since April.

U.S. West Texas Intermediate crude was at $84.20 a barrel, up $1.71, or 2.07%, the loftiest since June 12. Front-month prices gained 15.5% last week, the largest weekly ascent since early March.

The Middle ⁠East conflict escalated over the weekend with the U.S. conducting a ninth straight night of attacks against Iran, while U.S. allies Kuwait and Bahrain reported more Iranian strikes.

ING analysts in a note on Monday: “ICE Brent broke above $90 per barrel this morning with no let-up in the escalation in the Gulf.

Latest developments in US-Iran strikes

“The U.S. and Iran continue to exchange strikes, which are proving to be deadly for both sides. If this escalation goes unchecked, we could return to an environment of wide-scale attacks across the Gulf.”

The Islamic Revolutionary Guard Corps said on Monday that two oil tankers had exploded and been immobilised after attempting to transit what it described as an unsafe southern route through the Strait of Hormuz, alleging they ‌had been ⁠encouraged by the U.S. military to use the passage.

LSEG data showed that four vessels made the transit through ⁠the Strait of Hormuz on Sunday, down from eight in the previous day.

The data revealed that no fewer than three oil products tankers and one Very Large Crude Carrier have entered the strait since Friday to load oil.