Oil Prices Soars Past $100 While Trump Defends Iran War

Oil prices surged above $100 a barrel on Sunday for the first time in nearly four years. Investors feared that the spiralling Middle East war could disrupt global oil supply for an extended period. Both crude benchmarks, West Texas Intermediate (WTI) and Brent, jumped over 15 percent. Prices reached levels not seen since the early months of Russia’s 2022 invasion of Ukraine.

US President Donald Trump dismissed the spike as a “small price to pay” to eliminate Iran’s nuclear threat. He emphasized that the rise is temporary and will decrease once the threat ends. On social media, he warned that “only fools would think differently.” He insisted that safety and peace justify short-term price increases.

The conflict has severely affected maritime traffic in the Strait of Hormuz. About 20 percent of global crude and gas passes through this vital route. Since the war began on February 28, most tanker movements have halted. Oil and gas producers around the Gulf have reduced output. Meanwhile, Israeli strikes on fuel depots in Tehran have raised fears of retaliatory attacks on neighboring infrastructure.

Soaring crude prices have already increased fuel costs in the United States. Rising gasoline prices are a sensitive political issue ahead of November’s midterm elections. Analysts warned that prolonged disruption could pressure households and businesses. The White House stressed that efforts are ongoing to stabilize the market.

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US Energy Secretary Chris Wright said disruptions would be short-lived. He told CNN that worst-case scenarios might last only a few weeks, not months. He reassured Americans that the world is well supplied with oil. According to him, there is no energy shortage in the Western hemisphere.

Wright added that the United States is coordinating with shipping companies to move tankers through the Gulf. Early shipments may require direct US military protection. He predicted that traffic would return to normal “relatively soon.” Iran produces about four percent of global oil, but international sanctions limit exports. China remains its main buyer, according to industry data.

US Treasury Secretary Scott Bessent said the government considers lifting sanctions on more Russian oil. India has temporarily been authorized to buy Russian oil as global prices surged. The US International Development Finance Corporation is also creating a $20 billion reinsurance mechanism. This fund aims to cover risks associated with shipping through the Strait of Hormuz.