Oil see-saws and tops $ 110

Tuesday, 7 April 2026 01:50 - - {{hitsCtrl.values.hits}}

Global oil prices traded volatile yesterday, briefly surging above $ 110 per barrel after US President Donald Trump threatened to target critical infrastructure in Iran if shipping through the Strait of Hormuz is not restored.

Brent crude climbed past $ 110 before paring gains later in the session following reports of possible ceasefire negotiations between the United States and Iran.

In a social media post on Sunday, Trump warned that the US would strike infrastructure including power plants and bridges unless the strategic waterway is reopened by late Tuesday US time.

The Strait of Hormuz, a key global energy corridor, has seen severe disruptions to oil and gas shipments after Iran threatened to attack vessels attempting to pass through, in response to US and Israeli airstrikes since 28 February.

Market sentiment shifted later after Axios reported that the US, Iran and regional mediators are exploring terms for a potential 45-day ceasefire that could pave the way for a longer-term resolution to the conflict, citing US, Israeli and regional sources.

However, a White House official told the BBC that the proposal remains one of several options under consideration and has not received final approval, adding that military operations under “Operation Epic Fury” are continuing.

The developments underscore continued volatility in global energy markets, with prices reacting sharply to geopolitical signals while uncertainty over supply disruptions remains elevated.