Oil prices moved higher again, extending a sharp rally driven by geopolitical strain and worries about tighter global supply. Brent crude settled above $94 a barrel as traders continued to factor in the possibility that disruptions could last longer than previously expected.
The latest gains have taken this month’s rise in oil to nearly 30%, underscoring how quickly risk sentiment has shifted in the energy market. Concerns have intensified as the US and Iran downplayed the likelihood of peace talks, reducing hopes for a near-term easing of tensions.
At the same time, supply interruptions have remained a central focus for traders. When markets see a greater chance of prolonged disruption, prices tend to build in a larger geopolitical premium, especially when inventories and spare capacity are being closely watched.
The result has been a powerful upward move in crude, with investors balancing diplomatic signals against the immediate risk to supply flows. For now, the market appears to be responding more to the threat of sustained disruption than to expectations of a quick political breakthrough.
