Overview
- U.S. forces said they intercepted ballistic missiles claimed by Iran’s Islamic Revolutionary Guard Corps and the United States together with Saudi Arabia carried out strikes on Iran-aligned militias and weapons sites in Iraq, a rapid escalation reported on Wednesday that shattered a brief lull in hostilities.
- Global oil markets reacted immediately with benchmark Brent futures jumping about 7–8 percent on July 29 to prints near $90–$91 a barrel as traders priced a higher risk of supply disruption.
- U.S. government data showed a large unexpected weekly crude draw that pushed commercial stocks to multi-year lows and the Energy Information Administration and other reports confirm the Strategic Petroleum Reserve is at its lowest level in decades.
- Maritime traffic through the Strait of Hormuz and parts of the Red Sea has fallen sharply after Iran-targeted attacks and a Houthi-declared blockade, which has reduced export options and raised shipping insurance and rerouting costs.
- The collision of military strikes, thin reserve buffers and disputed inventory estimates from industry groups has amplified market volatility and could press policymakers and OPEC+ to weigh production or emergency-release responses that would affect fuel costs for consumers.