Brent crude jumped 10% to about $80 a barrel as U.S. and Israeli strikes on Iran triggered fears of a wider Middle East conflict. Strait of Hormuz closure concerns sent prices soaring, with analysts warning of potential $100 per barrel levels if shipping through the critical waterway remains blocked.

More than 20% of global oil passes through the Strait of Hormuz, making it a chokepoint for energy markets. Ajay Parmar of ICIS noted that tanker owners, oil majors, and trading houses have suspended shipments through the waterway after Tehran warned ships against passage. The disruption could eliminate 8-10 million barrels per day of crude supply.

OPEC+ agreed to raise output by 206,000 barrels per day starting April, but this modest increase represents less than 0.2% of global demand and won't offset the potential supply loss. Rystad Energy expects prices to rise by $20 to about $92 a barrel when markets reopen. Asian governments and refiners are already assessing stockpiles and alternative shipping routes as the crisis unfolds.