New Delhi: Crude oil prices gained Rs 91 to Rs 9,284 per barrel, hovering near its record levels, in futures trade on Monday after US President Donald Trump warned of military strikes on Iran's power plants and other infrastructure if the Strait of Hormuz is not reopened. On the Multi Commodity Exchange, crude oil for May delivery increased by Rs 91, or 1 per cent, to Rs 9,284 per barrel. Oil prices hit record of Rs 9,407 per barrel on March 23, 2026.
The uptick in crude oil prices came as geopolitical tensions intensified after President Trump increased pressure on Tehran while the Strait of Hormuz remained closed for the sixth consecutive week, disrupting global energy flows, Kaveri More, Commodity Analyst at Choice Broking, said. This has impacted shipments of crude oil, natural gas and refined products, tightening supply conditions and supporting prices, she added.
In the international markets, trends were mixed. West Texas Intermediate (WTI) crude futures for the May contract fell 0.48 per cent to USD 111 per barrel, while Brent oil for June delivery rose 1.3 per cent to USD 110.43 per barrel. More said that although OPEC+ has announced plans to increase output by 2,06,000 barrels per day in May, concerns persist over how additional supply would reach markets amid damaged infrastructure and ongoing conflict.
She added that OPEC production fell sharply in March due to forced export cuts, while US crude output also declined earlier this year following severe winter storms, further adding to global supply constraints. Dhaval Popat, Energy Analyst at Choice Institutional Equities said as the physical tightness in Southeast Asian markets is gradually shifting westward, which could push Brent crude prices towards USD 130 per barrel in the coming weeks.
"If the Hormuz situation remains status quo without progress in US-Israel-Iran negotiations, declining floating inventories and tightening marginal storage could drive a sharp increase in oil prices, leading to sustained higher prices during the month of April," he added.
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