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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
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Sign InCrude oil prices surged with WTI reaching $103.3 and Brent hitting $111.27 as geopolitical tensions escalated significantly. The price action followed warnings from President Trump to Iran, stating that time to reach a deal is running out after the conclusion of his trip to China. According to reports, analysts anticipate a potential new US attack aimed at forcing Iran into negotiations regarding strategic waterway access.
These gains come as markets monitor supply stability, with API data showing a crude oil stock draw of 2.188 million barrels per market data on May 12, 2026. In comparison to peers, traders are watching major energy firms like ExxonMobil and Chevron which typically track crude movements, especially amid persistent inflationary pressures as the US CPI recorded a 3.8% annual increase in May 2026 per market data.
Looking ahead, support levels for Brent near $110 should be monitored, with prices remaining volatile at close May 18, 2026. Traders will be awaiting key economic catalysts that could impact demand, including the WASDE report and upcoming speeches from Fed officials, which may provide signals regarding industrial activity and overall energy demand.
Update: Markets experienced sharp volatility on Monday as Brent crude hit a two-week high of $112 per barrel before dropping 2% and recovering to trade back above $110. These movements coincided with similar swings in gold prices, which recouped early losses to trade higher amid ongoing geopolitical uncertainty.
Update: Brent oil prices extended their weekly advance to 4.5% following reports of an attack on a nuclear power plant in the UAE, intensifying the geopolitical risk premium. Technically, Brent faces significant resistance at the $110 zone after rebounding from a low of $96.09 recorded on May 7, 2026, per market data.