Crude oil prices rose nearly 3% on Tuesday with oil in the U.S. going up to more than $96 and Brent crude, the global benchmark, settling at more than $103 a barrel. Gasoline prices in the U.S. continued their slow climb to reach an average of $3.79 as U.S. and Israeli warplanes pounded Iran and Iran responded with a narrow closure of the Strait of Hormuz.
Reuters reported that as the United States and Israel continue a bombardment of missile strikes across Iran, the Iranian Foreign Minister Abbas Araghchi says the Strait of Hormuz “is open, but closed to our enemies, to those who carried out this cowardly aggression against us and to their allies.”
The closure of the Strait of Hormuz, which accommodates one-fifth of the world’s oil and gas trade, is causing the single largest disruption to global oil trade in history, leading to expected skyrocketing energy prices over the coming weeks and months.
Brent crude closed at $103.6 with a gain of $3.38 per barrel or 3.37% for the day. West Texas Intermediate crude in the states rose to $96.21 a barrel on the New York Mercantile Exchange. It gained $2.71 or 2.90% for the day.
Natural gas supplies are also affected by the closure of the Strait of Hormuz and rose $0.010 or 0.33% to close Tuesday at $3.083 MMBtu.
Gasoline prices marched higher nationally and reached an average of $3.79 per gallon after an 8-cent gain. Diesel fuel prices across the nation rose 6 cents to reach an average of $5.04 per gallon, according to AAA.
Oklahoma’s average was unchanged Tuesday at $3.22 per gallon while diesel fuel rose 2 cents to hit $3.96.
The average in Oklahoma City fell 2 cents since Monday to $3.26 per gallon but diesel fuel gained a penny and averaged $4.26.
Tulsa gasoline and diesel fuel prices were unchanged, gas at $3.28 and diesel fuel at $4.35.
Across Oklahoma, the highest county average was $3.69 in Coal County. The lowest county average belonged to Bryan County at $2.99 per gallon.
The majority of Oklahoma energy stocks made some gains on Tuesday with Helmerich and Payne recording the highest percentage increase at nearly 3%.