Oil prices hit $100 for the first time since May

What the report says

BBC World News reported that Brent crude reached $100 a barrel for the first time since May, with the international oil benchmark climbing by more than 5% on Thursday. The rise followed several days of gains and came as fighting in the Middle East intensified, renewing concerns that energy supplies and shipping routes could be disrupted.

According to the BBC, the latest move in oil markets coincided with stepped-up US military strikes against Iran. The report said prices jumped after Houthi militia attacks on oil tankers in the Red Sea, a route described as important for exports and one Saudi Arabia has used as an alternative to the Strait of Hormuz. On Thursday, Iran’s Islamic Revolutionary Guards Corps said three tankers turned back from Hormuz after an explosion on one vessel led to a fire.

The BBC also reported that gas prices have been rising over the past month. It put the benchmark UK gas price at about 150p per therm, compared with roughly 98p per therm on 26 June, indicating broader pressure across energy markets.

The development matters because crude oil and gas prices influence transport, power generation, manufacturing costs and household energy bills. The BBC said a temporary ceasefire between the US and Iran had broken down, while US Secretary of State Marco Rubio stated this week that Iran’s leadership was not ready to reach a deal. Those diplomatic and military developments are likely to remain central to market concerns over supply security.