Crude Oil Prices Rally Above $100 per Barrel Amid Rejection of US Ceasefire Proposal by Iran

Crude Oil Prices Surge Amid US-Iran Conflict Uncertainty

Market Update On March 25, 2026, Brent crude oil prices rose by 1.56% to $103.81 per barrel, while US West Texas Intermediate (WTI) crude futures rallied 1.59% to $91.76. The significant increase in crude oil prices is attributed to the ongoing uncertainty surrounding the end of the US-Iran war.

Conflict Updates The US has reportedly sent a ceasefire proposal to Iran, which the Islamic Republic is currently reviewing. However, Iran has stated that it has no intention of holding talks. The conflict has resulted in nearly halted shipments passing through the Strait of Hormuz, which accounts for around one-fifth of the global supply of crude oil and liquefied natural gas. The International Energy Agency has described this situation as the most significant disruption in oil supply history.

Market Analysis Market analysts suggest that oil markets are currently receiving significant attention due to the threat of supply interruptions, particularly near the Strait of Hormuz. The ongoing conflict has contributed to a rise in oil prices, which could experience another steep increase if tensions escalate or critical infrastructure is attacked.

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Domestic Market On the domestic front, MCX crude oil prices closed at ₹8,511 on March 25, declining by ₹225 or 2.58% during the session. The MCX will be partially closed on account of Ram Navami on Thursday, March 26, 2026, with no trading during the morning session (9:00 AM – 5:00 PM) but trading will restart for the evening session from 5:00 PM to 11:30 PM.

Price Projections Market experts, including Jigar Trivedi of IndusInd Securities, anticipate that WTI oil may rise above $95 per barrel and Brent oil may appreciate to $106 per barrel. Macquarie predicts that even if geopolitical tensions subside soon, crude oil prices are likely to remain supported in the $85–$90 per barrel range, with a gradual increase back toward $110 until standard flows through the Strait of Hormuz are restored. Nuvama Institutional Equities also pointed out that a sustained shutdown of the Strait of Hormuz might drive crude prices to the $110–$150 per barrel level.