Oil prices surge past $113 as US-Iran talks stall

while US crude West Texas Intermediate was trading around $112 per barrel.

KARACHI: Global crude oil prices continued to rise amid a lack of progress in negotiations between the United States and Iran, intensifying uncertainty in international markets.

In the global energy market, Brent crude crossed $113 per barrel, while US crude West Texas Intermediate was trading around $112 per barrel.

A new report suggests that global oil prices could climb to their highest levels since 2022, with the average price for 2026 projected at around $86 per barrel. The report also notes a significant increase in energy and fertilizer prices.

The World Bank has warned that any disruption in the Strait of Hormuz could impact nearly 35% of global oil supply. Such a scenario may initially reduce supply by up to 10 million barrels per day.

According to the report, rising inflation driven by higher energy costs could lead to increased interest rates and more expensive borrowing.

The impact is expected to be most severe on developing economies and low-income populations, further straining global economic stability.