Strait of Hormuz Standoff Sends Oil Prices Surging

Oil prices surged more than 6 percent in early trading Sunday as Iran’s reversal on reopening the Strait of Hormuz - and its firing on tankers attempting to pass - reignited fears of a prolonged global energy crisis. U.S. crude jumped 6.4 percent to $87.88 per barrel while Brent crude, the international standard, climbed 6.5 percent to $96.25 per barrel. The spike comes as a fragile two-week ceasefire between the U.S. and Iran is set to expire Wednesday, with no deal in sight.

The market whipsaw followed more than two days of volatile expectations. Iran announced Friday it would fully reopen the strait to commercial traffic, sending crude prices plunging more than 9 percent.

Tehran reversed course Saturday after President Donald Trump declared the U.S. Navy blockade of Iranian ports would remain in effect, and Iran’s Revolutionary Guard fired on several vessels. Trump also reported the forcible seizure of an Iranian-flagged cargo ship that attempted to circumvent the blockade.

A gallon of regular gas cost an average of nearly $4.05 in the U.S. on Sunday, according to AAA - about 8 cents lower than a week ago but far higher than $2.98 before the war began. Energy Secretary Chris Wright said pump prices may not fall below $3 a gallon until next year. “But prices have likely peaked, and they’ll start going down,” Wright told CNN’s State of the Union on Sunday.

The U.S.-Israeli war against Iran, now in its eighth week, has created one of the worst global energy crises in decades, with countries across Asia and Europe bearing the heaviest impact of halted supplies and production cuts. Crude traded at roughly $70 a barrel before the conflict began on February 28 and has spiked above $119 at times.

Reporting from the Associated Press contributed to this article.

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This story was originally published April 19, 2026 at 6:55 PM.