gg2

Oil prices top $100 as Iran war escalates

Archived — this story has rotated out of today’s deck. It is kept here in full.

The gist

Brent crude topped $100 a barrel Wednesday for the first time since July as the U.S.
U.S. gasoline hit $4.22 a gallon, up about 32% from a year ago.

Background

The U.S.-Iran conflict began in February and has essentially shut down traffic in the Strait of Hormuz, where a fifth of the world's oil supply passed before the war. The U.S. destroyed five Iranian tankers on Tuesday, and Iran-backed Houthi attacks on Saudi energy facilities this week set oil installations ablaze. Brent has risen by a quarter since early last month as hopes fade for a permanent resolution to the six-month-old conflict.

How it unfolded

  1. Feb 28, 2026The Iran war begins and Iran closes off the Strait of Hormuz, severely curtailing crude flows through the key waterway.
  2. Sep 8, 2026The U.S. destroys five Iranian tankers in a series of attacks between the two nations.
  3. Sep 9, 2026Brent crude tops $100 a barrel for the first time since July 24; U.S. stocks fall and average U.S. gasoline rises 7 cents overnight to $4.22 a gallon.

Who’s saying what

Analysts
Goldman Sachs has raised its projected chances that prices will increase beyond $120 per barrel, and a growing number of banks including Bank of America and HSBC have raised their crude price forecasts in recent days.
Markets
Stocks fell on Wall Street Wednesday, with the S&P 500 down 0.3% to 0.5%, the Dow Jones Industrial Average losing 311 to 407 points, and the Nasdaq composite falling 0.4% to 0.7%, as higher fuel prices cut into household budgets and raise shipping costs.

Still unverified

Reports of Houthi attacks on Saudi energy facilities setting oil installations ablaze come from a single Reuters account and have not been independently confirmed; the exact timing and scale of the damage remain unclear.

Sources

See today’s stories in the app gg2 — free on the App Store