Crude oil prices climbed higher during Wednesday morning trading sessions, continuing an unprecedented surge that marked the strongest monthly performance on record during March.
June delivery Brent crude contracts increased by 66 cents, representing a 0.63% gain to reach $104.63 per barrel as of early GMT trading. Market data from LSEG shows March delivered a historic 64% monthly increase for front-month Brent contracts, the largest gain since records began in June 1988.
Meanwhile, U.S. West Texas Intermediate crude showed strong movement, with May contracts climbing 96 cents or 0.95% to $102.34 per barrel. June WTI contracts gained 46 cents, rising 0.49% to $93.62 per barrel.
Energy market analysts from LSEG explained the persistent volatility in a research note: “Even with diplomatic channels reportedly still active and intermittent comments from the U.S. administration predicting a short end to the conflict, the combination of limited tangible diplomatic progress, continued maritime attacks, and explicit threats against energy assets keeps supply risks skewed to the upside.”
Wednesday’s gains helped crude recover from Tuesday’s sharp decline, when June Brent contracts dropped more than $3 following unverified media reports suggesting Iran’s president might be prepared to conclude the ongoing conflict.
President Donald Trump addressed reporters Tuesday, stating the United States could conclude military operations within two to three weeks and emphasizing that Iran doesn’t need to reach an agreement to end hostilities. This represented Trump’s most direct statement yet about his intention to conclude the month-long military campaign.
However, energy analysts warn that even if fighting stops, damaged infrastructure will likely continue constraining oil supplies.
According to a Wall Street Journal report, Trump has suggested he might end the conflict before reopening the Strait of Hormuz, a critical shipping channel handling 20% of worldwide oil and liquefied natural gas commerce.
A Reuters survey released Tuesday revealed that Organization of the Petroleum Exporting Countries production fell by 7.3 million barrels daily during March compared to February, demonstrating the significant impact of enforced export reductions caused by the Hormuz closure.
The strait’s blockade and resulting production interruptions prompted analysts to dramatically revise their annual oil price projections upward between February and March, according to a Reuters economist and analyst poll.
The March survey projects Brent crude will average $82.85 per barrel during 2026, approximately 30% above February’s pre-war forecast of $63.85.
The $19 upward revision represents the most significant annual forecast adjustment in Reuters’ monthly oil polling data, which extends back to 2005.
