Iran widened its military campaign to include direct strikes on merchant shipping and oil export ports Thursday, sending oil markets into a fresh spiral and Brent crude back above $100 a barrel. The attacks affected multiple countries simultaneously, signaling a deliberate strategy to inflict maximum economic damage on the region and its trading partners. Governments rushed to calm markets with emergency oil releases, but supply fears persisted.
The Thai-registered vessel Mayuree Naree was struck near the Strait of Hormuz, with its owner reporting three crew members were believed trapped. Iraq ordered an immediate halt to all oil port operations after two tankers in adjacent waters were attacked. Bahrain issued a shelter-in-place order for residents in the Muharraq Governorate after fuel tanks in the area were set ablaze.
Oman moved all vessels from its Mina Al Fahal export terminal — one of the last functioning crude export points in the region — following drone attacks at a nearby port. The Strait of Hormuz itself has been closed to normal traffic since February 28, cutting off approximately a fifth of global oil and gas flows. Saudi Aramco warned of catastrophic consequences for energy markets if the situation does not improve.
The IEA took the extraordinary step of releasing 400 million barrels of emergency crude from the reserves of its 32 member nations, the largest action of its kind in history. The US pledged 172 million barrels from its Strategic Petroleum Reserve, with delivery expected to begin within a week. Despite the unprecedented scale of intervention, oil prices continued to rise as investors focused on the worsening security situation.
Goldman Sachs raised its late 2026 Brent price target to $71 per barrel. Deutsche Bank flagged the danger of a prolonged stagflationary shock. Markets in Asia and Europe fell, with Japan’s Nikkei declining 1.6% and European natural gas prices climbing 7.7%.