---
title: "Oil hits record highs: How the conflict in the Strait of Hormuz has driven up energy prices"
description: "Oil is hitting record highs again: Brent reached $90, and WTI hit $84. The cause is the breakdown of the ceasefire between the US and Iran and the threat of closing the Strait of Hormuz. 🛢️⚡️ The US and Iran are exchanging strikes, while the number of ships in the strait has halved. 📉"
date: 2026-07-20T05:16:00.000Z
lang: en
url: https://xab.info/en/posts/oil-hits-record-highs-conflict-in-the-strait-of-hormuz
tags: [oil-prices, brent, usa, iran, ormuz-strait]
publisher: "XAB.info"
---

# Oil hits record highs: How the conflict in the Strait of Hormuz has driven up energy prices

![Oil rig and storage tanks at sunset: symbolizing the surge in oil prices due to the conflict in the Strait of Hormuz](https://xab.info/media/2026/07/20/neft-byet-rekordy-konflikt-v-ormuzskom-prolive/neft-byet-rekordy-konflikt-v-ormuzskom-prolive-1.webp)

Global energy markets are once again showing high volatility. Oil prices continue to hit new highs, reacting to a sharp escalation of the geopolitical situation in the Middle East. The key factor fueling the rise in quotes was the breakdown of the ceasefire between the US and Iran, which led to restricted supplies through the strategically important Strait of Hormuz.

### Market reacts to the threat of supply disruption

As of Monday, Brent crude oil futures rose by $2.09, representing a 2.37% increase. The cost of a barrel reached $90.19. This is the highest price level since June 11. Looking at the weekly trend, Brent showed an impressive 15.9% growth, marking the most significant jump since April.

US West Texas Intermediate (WTI) crude is also showing steady growth. Its price reached $84.20 per barrel, an increase of $1.71 (+2.07%). This is the highest figure since June 12. Over the past week, WTI prices rose by 15.5%, following the global trend.

### Battle for the Strait of Hormuz

The main cause of instability has been the resumption of hostilities and mutual claims regarding shipping. The Strait of Hormuz remains a critical artery of the global economy, through which approximately one-fifth of all oil trade passes.

The situation in the region is intensifying: the US has declared a blockade of Iranian ports, while Tehran warns of pursuing ships that, in their view, violate shipping rights in the strait. Shipping statistics are already recording an alarming trend. According to LSEG data, only 4 ships passed through the strait on Sunday, which is half the figure from the previous day, when 8 tankers made the transit.

### Plans for escalation and limitations

The information space is also stoking the situation. A Washington Post article states that the US is planning a larger-scale war against Iran. However, experts point out serious limitations on the American side: operations may be restrained due to dwindling air defense stockpiles and a shortage of long-range munitions.

A week earlier, Axios reported that Washington is preparing for a protracted conflict. This refers to multi-day or even multi-week exchanges of strikes with Iran for control over influence in the Strait of Hormuz. As long as the parties are not ready to compromise, markets will remain tense, awaiting further developments.