FrontNaija News – June 16, 2025
Crude oil prices soared by over 6% on Monday, reaching a multi-month high, following reports of an Israeli military strike that reignited geopolitical tensions in the Middle East.
Brent crude, the global oil benchmark, jumped to $89.45 per barrel, while U.S. West Texas Intermediate (WTI) crude surged to $85.12 per barrel, marking one of the sharpest daily gains this year.According to Reuters, the sudden spike comes amid escalating fears that renewed conflict could disrupt oil supplies from the region, which holds a significant portion of the world’s crude reserves.
The Israeli strike reportedly targeted positions in southern Lebanon in retaliation for recent missile launches, drawing strong reactions from neighboring states and global stakeholders.
Market analysts suggest that if tensions continue to rise or spread to major oil-producing nations, particularly Iran or Iraq, the world could face another round of supply chain disruptions and energy price volatility. Energy expert Amrita Sen of Energy Aspects noted:
This conflict risk premium is now being priced in, and if the situation worsens, $95 to $100 per barrel is not out of the question.”In addition to geopolitical risks, investors are also eyeing the upcoming OPEC+ meeting, where member states are expected to review existing output cuts in response to changing global demand and price pressures.
The oil market remains highly sensitive to political instability in the Middle East, and Monday’s surge underscores how quickly global events can ripple through economies, potentially leading to higher fuel and transportation costs worldwide — including in Nigeria.
Stay with FrontNaija for breaking updates on global market reactions and how it affects you.
