U.S. Energy Secretary Chris Wright said oil price increases have not yet destroyed demand, speaking at CERAWeek in Houston. He noted that while prices have risen due to Middle East conflicts, they haven't reached levels that would force significant demand destruction. Wright emphasized that higher prices serve as a signal to producers to increase output.

Speaking at the energy industry conference, Wright addressed the impact of the Strait of Hormuz disruption on global energy flows. He acknowledged that energy and critical material flows have been affected but framed the conflict as unavoidable. The Energy Secretary suggested that the current price levels remain insufficient to drive consumers away from oil consumption.

Wright's comments come as oil markets continue to react to Middle East tensions and potential supply disruptions. His assessment suggests that current price levels are not high enough to trigger the demand destruction that typically occurs when prices reach extreme levels. This indicates that oil markets may still have room to move higher before consumption patterns begin to shift significantly.