The global energy market is in a state of heightened tension and uncertainty.
On the evening of March 6, international oil prices surged significantly, with WTI crude oil spiking over 11% at one point and Brent crude oil surging more than 7%. According to the latest reports, on March 6 local time, the UK Maritime Trade Operations Office stated that it had received a report indicating that a tugboat was struck by an unknown object while navigating through the Strait of Hormuz.
Ask Futubull AI:If the Middle East crisis continues to escalate, how high could crude oil prices rise in US dollars?
Affected by the escalating situation, the three major U.S. stock indexes opened lower collectively; stock indexes in multiple European countries also fell by more than 1%; the entire cryptocurrency market plummeted, with Bitcoin and Ethereum both dropping over 5%, and the VIX panic index surged by over 18% at one point.
Analysts pointed out that tensions in the Middle East continue to dominate market sentiment. The focus for investors now is how long this conflict will last—days, weeks, or even longer. On March 6 local time, U.S. President Trump claimed on social media: "No deal will be reached with Iran unless it unconditionally surrenders."
Surging oil prices
Driven by the continued escalation of tensions in the Middle East, international oil prices reached a two-year high. As of 1:30 Beijing Time on March 7, WTI crude oil surged 13.02%, reaching $91.56 per barrel.
In terms of developments, according to CCTV News, on March 6 local time, the UK Maritime Trade Operations office reported that a tugboat was struck by an unknown object while navigating the Strait of Hormuz. The incident reportedly occurred approximately six nautical miles north of Oman in the Strait of Hormuz. Further details are still being verified.
According to Xinhua News Agency, Iran's Mehr News Agency reported on March 6 that a U.S. oil tanker caught fire after being attacked near Kuwaiti waters. No further information was provided in the report.
Analysts noted that this conflict is reshaping the oil supply landscape in the Middle East, driving global oil prices higher. Rising gasoline prices in the United States highlight the growing risk of energy shocks spilling over into inflationary pressures.
According to a report released on March 6 by the Joint Maritime Information Center (JMIC), a recent assessment of shipping signals in the Strait of Hormuz indicates that the number of vessels passing through has dropped to single-digit levels, with only two confirmed commercial transits observed in the past 24 hours.
According to this multi-national maritime advisory organization focused on the Middle East, these transits involved cargo ships rather than oil tankers.
The report mentioned that due to nearly saturated storage capacity, Kuwait has begun cutting production at some oilfields. Citigroup estimates that daily crude oil supplies could decrease by 7 to 11 million barrels due to shipping disruptions in the Strait of Hormuz.
Goldman Sachs warned that if supply disruptions persist, the risk of oil prices exceeding $100 per barrel is becoming evident.
Goldman Sachs noted in its report: "If oil shipments through the Strait of Hormuz remain disrupted for the next five weeks, Brent crude prices could reach $100 per barrel, a level that implies greater demand destruction to prevent inventories from falling to critically low levels."
Goldman Sachs stated: 'The crude oil market does not have much confidence in whether the security measures taken by the United States in the Strait of Hormuz to protect oil tankers and natural gas carriers can resolve the current issues.'
Samantha Dart, co-head of Goldman Sachs' Global Commodities Research division, stated that the feasibility of naval escorts for vessels is questioned due to the large number of tankers. She also pointed out that concerns have been raised about the effectiveness of escort teams in responding to drone attacks.
Marco Oviedo, senior strategist at XP Investimentos, stated: 'What matters now is whether this war will last for days, weeks, or longer. The possibility that the conflict will not last long remains the baseline assumption, with the United States expected to win this war. However, Iran's refusal to back down has kept tensions high.'
Trump's latest statement
According to CCTV News, on the local time of March 6, U.S. President Trump claimed on social media, 'No deal will be reached with Iran unless it unconditionally surrenders.'
The current conflict in the Middle East continues to escalate. On the afternoon of March 6 local time, Iran’s Islamic Revolutionary Guard Corps (IRGC) announced the start of the 22nd phase of Operation 'True Promise 4' that morning, during which Iran launched a large-scale attack using 'Khorramshahr-4' missiles and 'Fateh' missiles, aiming to retaliate for the attack on a primary school in Minab. The announcement stated that the missile strikes targeted U.S. and Israeli sites from the Persian Gulf to Tel Aviv.
The announcement noted that, based on the IRGC's previous notice regarding intensifying and expanding attacks, Iran employed super-heavy 'Khorramshahr-4' missiles carrying 2-ton warheads and traveling at speeds exceeding Mach 14 in this powerful strike. Military bases of the U.S. and Israel located in Gulf countries, Tel Aviv, Ben Gurion International Airport, and the military center in Haifa were all hit by Iran’s next-generation missiles.
An IRGC official said on March 6 that Iran would deploy its next-generation missiles to strike U.S. and Israeli targets. Fars News Agency quoted the official as saying that Iran has been continuously assembling and producing missiles while advancing the manufacturing of various missile systems. 'In the coming days, advanced, rarely used long-range missiles will be deployed for new types of attacks,' the official predicted.
The official added that Iran had anticipated the war would last for some time and had mainly used missile models developed over a decade ago in recent days. 'Next-generation missiles have yet to be deployed,' the official said without revealing further details.
According to reports from multiple Iranian media outlets on March 6, IRGC spokesperson Naeeni stated that Iran is equipping itself with new types of weapons but has not yet deployed them on a large scale. 'The enemy should expect heavy blows in every wave of offensives.'
Editor/Stephen
