Global oil markets reacted sharply on the London ICE exchange immediately following a statement by US President Donald Trump regarding joint US-Israeli military operations.
According to the Operative Information Center-OMM, the price of June futures for Brent crude oil experienced a sudden surge, increasing by more than 6.5%.
Market reaction following US President Donald Trump's address
Trading data indicates that as of 04:55 Baku time, prior to the address by US President Donald Trump, Brent crude was trading 1.35% lower at $99.79 per barrel. However, the market sentiment shifted rapidly; by 05:33, Brent reached $106.29 per barrel, marking a 5.07% increase.
Simultaneously, May futures for WTI crude oil also saw significant gains, initially rising 4.09% to $104.21 per barrel. By 08:05, the latest global market data showed Brent crude up 6.51% at $107.75, while WTI crude climbed 5.38% to reach $105.51.
Geopolitical tensions and energy security
The primary driver behind this global market volatility is the military operation launched by the United States and Israel against Iran on February 28. This operation resulted in the deaths of Iran's Supreme Leader Ayatollah Ali Khamenei and several high-ranking officials. In response, Iran launched strikes against Israel and targets in Saudi Arabia, Qatar, the UAE, Oman, Bahrain, Iraq, and Cyprus, where US and allied military bases are located.
In a video address, US President Donald Trump emphasized that the United States is very close to achieving its primary objectives in the operation against Iran. The American leader also warned that if the Iranian leadership fails to reach an agreement with the US administration, Tehran faces a return to the "Stone Age."
Energy analysts note that such geopolitical instability in the Middle East historically leads to increased risk premiums in oil pricing. As a major global energy producer, Azerbaijan closely monitors these fluctuations, which impact global supply chains and regional economic stability. The current escalation remains a focal point for international commodity traders and diplomatic missions in Baku and across the globe.
