Why did oil prices spike after the Iran war started?

The Strait of Hormuz handles 21 million barrels of oil per day (21% of global supply). When Iran closed it, the sudden supply disruption caused Brent crude to surge from $76 to over $112/bbl.

How high could oil prices go?

In the worst case scenario (full escalation, extended Hormuz blockade), oil could reach $130-150/bbl. The base case projects $110-130 for a 3-6 month disruption.

Iran War Oil Price Surge: Brent Crude Analysis & Forecast

Brent crude has surged past $112 per barrel following the Strait of Hormuz closure, disrupting 21 million barrels per day of oil transit. Three price scenarios analyzed: Moderate ($95-110 with quick resolution), Base ($110-130 with 3-6 month disruption), Severe ($130-150+ with full escalation). Historical comparison to 1973 Arab oil embargo, 1979 Iranian Revolution, 1990 Gulf War, and 2022 Russia-Ukraine crisis.