Crude Oil Prices Jump 7% After U.S. Navy Strait of Hormuz Blockade Order Sparks Global Energy Shock

Global crude oil prices surged sharply on Monday, April 13, rising by more than 7% after the United States announced a naval blockade of the Strait of Hormuz. The move, ordered by President Donald Trump, immediately rattled global energy markets due to the waterway’s critical role in global oil trade.

Brent crude futures climbed to $101.91 per barrel, while West Texas Intermediate (WTI) rose to $104.16 per barrel, according to market data. The spike reflects renewed fears of supply disruption, as nearly 20% of global oil passes through the Strait of Hormuz, one of the world’s most strategic shipping routes.

The price surge follows the collapse of talks between the United States and Iran in Islamabad, Pakistan. President Trump announced that the U.S. Navy would begin enforcing a blockade on vessels entering or leaving the Strait, describing the move as part of efforts to prevent Iran from exporting oil amid rising tensions over its nuclear ambitions.

Vice President JD Vance confirmed that negotiations lasted about 21 hours but ended without agreement, citing Iran’s unwillingness to commit to restrictions on nuclear development. The announcement triggered immediate volatility in global markets, reversing a brief period of price stability following a recent ceasefire that had previously pushed oil prices down.

For countries like Nigeria, the impact of rising crude oil prices is already being felt. Higher global oil prices typically translate into increased fuel costs, which in turn drive inflation. In recent months, Nigeria has seen petrol prices rise by more than 50%, fueling sharp increases in food and transportation costs across major cities, particularly Lagos.

source: nairametrics