Surging Crude Prices Amidst Global Tensions

Brent crude oil prices briefly surged over USD 126 per barrel on Thursday due to stalled US-Iran talks, creating doubts about reopening the Strait of Hormuz and an end to the conflict. June delivery prices rose to USD 121.90, marking a notable increase amid ongoing tensions.

The conflict has kept oil prices unpredictably high, with the US maintaining a blockade of Iranian ports while the Strait remains closed. The situation was aggravated by reports suggesting a possible US escalation, dampening hopes for resumed oil flows, according to ING Bank strategists.

Market reactions were mixed; the US dollar saw fluctuations, reinforcing its safe-haven status as other major currencies reacted to these developments. Meanwhile, global equities experienced varied performances, with European and Asian markets responding to the economic uncertainties.

(With inputs from agencies.)