Overview
- Brent and WTI spiked as much as 20%–30% to around $111–$119 before easing to roughly $105–$109 early Monday after reports of a possible G7/IEA emergency reserves release and rare prompt supply tenders from Saudi Aramco.
- Tanker traffic through the Strait of Hormuz has largely halted, disrupting about one‑fifth of global seaborne crude flows and forcing supply shut‑ins across the Gulf.
- Iraq’s output from southern fields has reportedly fallen about 70% to near 1.3 million barrels per day as storage fills, while Kuwait cut production and declared force majeure on shipments.
- Equities sank across Asia and futures weakened in the US and Europe as investors priced in higher fuel costs and renewed inflation risks tied to a sustained supply disruption.
- Washington announced up to $20 billion in maritime reinsurance for Gulf voyages and signaled potential naval escorts, and G7 finance ministers with the IEA were set to discuss coordinated oil‑reserve releases.