Motorists pass a facility of ADNOC Gas, a subsidiary of the Abu Dhabi National Oil Company, in Abu Dhabi on March 3, 2026.
Ryan Lim | AFP | Getty Images
Oil prices were volatile on Wednesday after the United States launched military strikes against Iran, raising fears that renewed hostilities could threaten shipping through the Strait of Hormuz.
American crude oil Futures for July delivery fell 0.19% to $88.03 a barrel, paring gains after jumping more than 1%. Brent Futures contracts, the international benchmark, for delivery in August, slipped 0.2% to $91.27 per barrel.
THE The US military said it had successfully carried out its strikes against Iranian military targets near the Strait of Hormuz.
US forces carried out strikes against Iran on Tuesday evening after a US military Apache helicopter was shot down a day earlier, according to US Central Command. Centcom has described the operation as a measured, defensive response to what it calls Iranian aggression.
President Donald Trump said Tuesday that Iran had shot down a U.S. helicopter conducting patrols near the Strait of Hormuz and indicated the United States would retaliate.
“Both pilots involved in the attack are safe and uninjured,” Trump wrote on Truth Social. “Nevertheless, the United States must, of necessity, respond to this attack.”
Rystad Energy said the halt in production of 11.8 million barrels per day at six Gulf producers had created the the most serious disruption of oil supplies in modern history. The consultancy estimates that cumulative production losses have reached 1 billion barrels and has warned that each additional month of conflict could wipe out an additional 350 million barrels of production.