Crude oil prices climbed sharply in the Indian futures market on Monday amid escalating geopolitical tensions between the United States and Iran over the closure of the Strait of Hormuz.
On the Multi Commodity Exchange (MCX), the May delivery contract for crude oil rose by Rs 91, or 1 per cent, to settle at Rs 9,284 per barrel. The price hovered close to its all-time high of Rs 9,407 per barrel, recorded on March 23, 2026.
The surge was triggered by US President Donald Trump’s warning of potential military strikes on Iran’s power plants and other infrastructure if the strategically vital Strait of Hormuz is not reopened. The waterway has remained closed for the sixth consecutive week, severely disrupting global shipments of crude oil, natural gas, and refined petroleum products.
Kaveri More, Commodity Analyst at Choice Broking, attributed the price uptick to intensified geopolitical tensions and pressure on Tehran, which has tightened supply conditions worldwide.
Also read: Iran Mocks Trump Over Strait of Hormuz Ultimatum Amid Rising Tensions
In international markets, trends remained mixed. Brent crude for June delivery advanced 1.3 per cent to USD 110.43 per barrel, while West Texas Intermediate (WTI) crude for May delivery slipped 0.48 per cent to USD 111 per barrel.
More noted that although OPEC+ has planned to raise output by 206,000 barrels per day in May, concerns persist over the delivery of additional supply due to damaged infrastructure and the ongoing conflict. She added that OPEC production dropped sharply in March because of forced export cuts, while US crude output also declined earlier this year following severe winter storms, further constraining global supplies.
Dhaval Popat, Energy Analyst at Choice Institutional Equities, observed that physical tightness in Southeast Asian markets is gradually shifting westward. He cautioned that if the situation in the Strait of Hormuz remains unchanged without progress in US-Israel-Iran negotiations, declining floating inventories and tightening marginal storage could push Brent crude prices towards USD 130 per barrel in the coming weeks, resulting in sustained higher prices through April.
Also Read: Iran And US Receive Proposal For 45-Day Ceasefire And Reopening Of Strait of Hormuz