Oil prices increased to a six-week high on September 7, 2026, with Brent crude nearing $100 a barrel amid escalating tensions between the United States and Iran, along with reports of an attack on Saudi Aramco facilities. Brent crude futures rose 1.3% to $97.52 a barrel after briefly reaching $97.93, the highest level since July 23, according to CNBC. U.S. West Texas Intermediate crude also gained 1.3% to $92.68 a barrel after briefly topping $93.
The increase in prices followed a weekend escalation where the U.S. military struck three Iranian oil tankers after Iran launched ballistic missiles at two U.S. Navy warships, as reported by U.S. Central Command. Iran condemned these attacks on commercial vessels, labeling them a "war crime" and an act of "economic warfare."
Further unsettling the market were reports that Saudi Aramco oil facilities in Jizan, Saudi Arabia, had been hit in a recent attack. The Financial Times noted that damage to the facility was still being assessed and that it was unclear who was responsible. The Jizan complex includes a refinery capable of processing 400,000 barrels of crude a day.
The oil markets are already facing reduced flows through the Strait of Hormuz, a critical route for global energy shipments. The Financial Times reported that Brent crude moved above $98 during trading and warned that extended disruptions could lead to a renewed global supply crunch. Additionally, oil inventories outside China have decreased by over 400 million barrels since the conflict began, with seaborne oil volumes at multi-year lows.
Analysts cited by the Financial Times indicated that oil prices could rise to $120 a barrel if attacks on shipping routes escalate. The market has seen significant fluctuations during the conflict, with Brent reaching $126 a barrel in late April before dropping to just above $70 in early July due to a ceasefire between Washington and Tehran.
Traders are now assessing whether the recent military exchanges will remain limited or pose a broader threat to production, transportation, and refining capacity in the Middle East. The Financial Times also reported disruptions at refineries in the Gulf and Russia, adding pressure to refined-product markets. Diesel prices have surged more sharply than crude, with diesel trading at record levels above crude oil prices.
For U.S. consumers, the rise in oil prices coincides with already elevated gasoline and diesel prices, with the conflict contributing to record prices for the Labor Day weekend. The immediate concern for oil traders is whether the latest strikes will result in sustained losses of physical supply. Arne Lohmann Rasmussen, chief analyst at Global Risk Management, stated that the Saudi attack represented a "significant escalation" and that markets would be monitoring potential disruptions to oil-shuttling operations that have maintained supply during the conflict.