Oil picked up pace at the start of the week amid Donald Trump’s new threats to Iran regarding the destruction of its power plants and other facilities if Tehran’s leadership were to decide not to “sign an agreement” or not to “open the Strait of Hormuz”, a stretch of sea through which approximately 20% of the world’s crude oil transits. The WTI marks an increase of 1.93%, to 113.69 dollars a barrel, while Brent stands at 110.67 dollars (+1.64%).
“If they don’t do something by Tuesday night, they’ll have no more power plants and they’ll have no more bridges standing,” Trump said in an interview with the Wall Street Journal released Sunday. Oil futures gained $11.42 a barrel on Thursday, their biggest daily gain since April 2020, when they recovered after falling during the Covid lockdown. The benchmark price of WTI, US crude, has risen by around 70% since the bombing of Iran began: it has not been this high since June 2022, since the Russian invasion of Ukraine shocked energy markets. Some analysts and operators expected a more conciliatory tone from the tycoon over the weekend: on the contrary, the president shuffled the cards once again by threatening Iran with the adoption of draconian and destructive measures.