Oil prices nudged higher on Thursday as investors weighed the fallout from the U.S.-Iran war, which has pushed Brent crude up roughly 45 % since the conflict began. The uptick coincided with a brief meeting between former President Trump and China’s Xi Jinping, where Trump urged Beijing to pressure Iran to reopen the Strait of Hormuz.

Brent climbed about 1 % to $78.30 a barrel, while U.S. West Texas Intermediate edged up to $102.18. Stocks mirrored the optimism around artificial intelligence, with the S&P 500 futures ticking higher and the index already at record highs. European markets gained modestly, and the DAX rose 1 % in the first quarter, for the second trading week.

Gas prices climbed two cents to an average of $4.53 a gallon, marking a 52 % rise since the war began. Diesel stayed flat at $5.67, up 51 % from pre‑war levels. The spike underscores mounting inflationary pressure, prompting analysts to warn that tighter financial conditions could loom for investors navigating volatile markets and uncertain policy today.

Bob Savage, BNY’s macro‑strategy chief, said the tech rally and hopes for a positive Trump‑Xi outcome fuel optimism, yet underlying inflation risks loom large. With oil prices still elevated and geopolitical tensions unresolved, market participants will closely monitor any shifts in U.S. and Chinese policy that could reshape energy supply and inflation dynamics.