Trump Extends Iran Ports Blockade, Driving Oil Prices to Wartime High

Oil prices surged as markets priced in prolonged disruption tied to the Strait of Hormuz and a potential US siege of Iranian ports, with Reuters reporting that US crude settled up 6.95 percent at $106.88 per barrel on Wednesday and Brent crude rose 6.08 percent, or $6.77, to $118.03 after earlier touching its highest price since June 2022.

The same Reuters reporting cited by Al Jazeera said Brent crude futures for June continued to rise on Thursday to $119.94 per barrel as of 00:57 GMT, while US West Texas Intermediate futures were at $107.51.

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The Washington Post described Brent crude surging past $125 a barrel early Thursday as stalled U.S.-Iran talks raised doubts over reopening the Strait of Hormuz and a permanent end to the Iran war.

CNN said oil prices surpassed $126 a barrel on Thursday morning, its highest price since 2022, and that Brent was up more than 12% overnight into Thursday before paring some gains to trade at $124 as of 2:28 am Thursday.

CNN also tied the spike to President Donald Trump mulling an extended blockade of Iranian ports, and it linked the surge to the national average US gas price reaching a four-year high of around $4.23.

In parallel, the Guardian said Brent soared above $126 a barrel on Wednesday after Trump warned the US blockade of Iranian ports could last months and peace talks remained stalled, with Brent hitting a record price since the war began on 28 February.

Across the coverage, the common thread was that the Strait of Hormuz remained effectively shut, with CNN saying it was “effectively shut still” and the BBC describing the waterway as “still effectively closed.”

The price surge was tied to stalled negotiations and the absence of a near-term path to reopening the Strait of Hormuz, with Al Jazeera saying oil prices continued to surge with “no resolution in sight” to the two-month-long US-Israel war on Iran and as supplies of fuel remained snarled in the Strait of Hormuz.

Al Jazeera also described Iranian forces as having imposed a blockade on the transit of vessels while the US was besieging Iranian ports and shipping, and it quoted an IG market analyst, Tony Sycamore, saying, “Prospects for any near-term resolution to the Iran conflict or a reopening of the Strait of Hormuz remain dim.”

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The BBC similarly said energy prices rose as peace talks appeared to have stalled, with the key Strait of Hormuz waterway “still effectively closed.”

CNN added that face-to-face negotiations between the US and Iran broke down, keeping the Strait of Hormuz “effectively shut still,” and it said daily transits through the Strait of Hormuz had reduced to near zero since the war began in late February.

CNN also reported that since the US and Iran reached a temporary ceasefire in early April, there had been a slight increase in the number of oil and gas tankers transiting through the strait, though they remained at single digit level, according to data from S&P Global Market Intelligence.

The Guardian said US-Iran talks set for Islamabad in Pakistan over the weekend failed to materialise, so the stalemate grinds on, and it framed the situation as Trump appearing willing to maintain the US Navy blockade of Iranian ports while Iran kept the strait of Hormuz all but shut to other oil tankers.

In the Reuters-based gCaptain report, a White House official said Trump discussed how to mitigate the impact of a possible months-long U.S. blockade of Iran’s ports with oil companies, following a deadlock in efforts to resolve the conflict.

Multiple sources put hostile statements and market interpretations side by side, with Trump’s comments repeatedly linked to the blockade duration and the market’s reaction.

The Guardian quoted Trump telling Axios that “The blockade is somewhat more effective than the bombing,” and it added his line that “They are choking like a stuffed pig.”

The Guardian also said Trump warned the US blockade of Iranian ports could last months and that in a meeting with oil executives he discussed what steps could be taken to “continue the current blockade for months if needed,” according to a White House official.

CNN reported that in a meeting between Trump and his top advisers, the president said he wanted the US naval blockade of Iranian ports to continue, and it said his team had begun laying the groundwork for such an extension, including a longer-term closure of the Strait of Hormuz.

On the Iranian side, CNN quoted Iranian Oil Minister Mohsen Paknejad saying, “The enemy will achieve nothing through a naval blockade of Iran,” and it said he urged the public to cut consumption as Iran launched a broad energy-conservation campaign.

The BBC described Iran retaliating against US-Israeli airstrikes by threatening to attack ships in the waterway, and it quoted Naveen Das of Kpler saying, “Elements of demand destruction are already visible globally, which could accelerate with higher prices.”

For market framing, CNN quoted Vandana Hari, founder of energy market analysis firm Vandan Inishgts, saying oil prices have “nowhere to go but up” until the reopening of the strait comes into sight, while the BBC quoted IG market analyst Tony Sycamore’s view that near-term resolution prospects remained dim.

While the core narrative—blockade fears and Strait of Hormuz disruption—runs through the reporting, the outlets diverge in what they emphasize and which figures they foreground.

Al Jazeera anchored its account in Reuters numbers that included US crude settling at $106.88 per barrel and Brent at $118.03, and it tied the surge to “fears of a lengthy US siege of Iranian ports,” while also citing the Pentagon’s first disclosed estimate that the war has cost the US military $25bn so far.

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The Washington Post, by contrast, foregrounded the level of Brent crude “past $125 a barrel” and framed the driver as “stalled U.S.-Iran talks” raising doubts over reopening the Strait of Hormuz and a permanent end to the Iran war, without repeating the $25bn figure.

CNN emphasized the speed and magnitude of the move, saying Brent was up more than 12% overnight into Thursday and that WTI surpassed $110 per barrel, and it connected the spike to a “four-year high of around $4.23” for the national average US gas price.

The BBC focused on the possibility of new US military options, saying the oil jump came after a report that US Central Command had prepared a plan for a wave of “short and powerful” strikes on Iran, and it cited Axios for those plans while also describing the Strait of Hormuz as “still effectively closed.”

The Guardian highlighted Trump’s warning that the blockade could last “months,” and it added a macro-financial layer by quoting Jim Reid at Deutsche Bank on “growing fears about an extended stagflationary shock” and by citing bond yield moves including “Japan’s 10-year yield move up to 2.51%.”

Meanwhile, ynetnews reported a different snapshot of prices—Brent around $119 a barrel and WTI around $106—and it attributed the jump to reports that Trump and oil-company representatives discussed imposing a months-long blockade, while also citing Iranian state television’s quote about “unprecedented military action.”

The stakes described by the sources extend from immediate energy prices to broader economic and military costs, with multiple outlets linking the blockade to inflationary pressure and longer-term disruption.

CNN said the prospect of prolonging the halt on Middle Eastern energy exports bodes poorly for the global economy, which is already suffering from fuel shortages, rising inflation and dampened consumer activity, and it added that energy markets may take as long as a year to recover to normal supply and demand balances.

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CNN also reported that economists have warned that if the disruption extends into the second half of the year, it could trigger a global recession, and it described how higher prices could flow into everyday products such as plastic, synthetic rubber or textiles.

The Guardian added a financial-market dimension, saying Jim Reid at Deutsche Bank warned the jump in the oil price was feeding “growing fears about an extended stagflationary shock,” and it reported that “Overnight we’ve seen Japan’s 10-year yield move up to 2.51%.”

Al Jazeera said the Pentagon revealed for the first time that the war on Iran has cost the US military $25bn so far, and it quoted Tony Sycamore saying near-term resolution prospects remained dim.

On the US side, the BBC said the US would blockade Iranian ports for as long as Tehran continues to threaten vessels that try to use the Strait of Hormuz, while Iran retaliated by threatening to attack ships in the waterway.

For next steps, the Reuters-based gCaptain report said Iran’s latest offer for resolving the war, suspended since April 8 under a ceasefire agreement, would set aside discussion of its nuclear program until the conflict is formally ended and shipping issues resolved, and it said that did not meet Trump’s demand to address the nuclear issue at the outset.