The finance ministers of the Group of Seven (G7) has held an emergency meeting in Brussels, joined by the International Energy Agency, the World Bank and the International Monetary Fund, to address the economic fallout of the war on Iran, market volatility and surging energy prices.
The G7 group of economies collectively affirmed their readiness to deploy all necessary measures to stabilize markets if oil price surges continue, including the potential coordinated release of portions of their strategic reserves of oil and petroleum products.
However, the G7 ministers emphasized that no formal decision has been made yet regarding the actual release of these reserves, stressing that the primary goal is to reassure markets while carefully monitoring developments on a day-to-day basis.
Western capitals noted that, so far, global supplies have not been directly disrupted. Nonetheless, they are treating the situation as a significant price shock that could escalate if disruptions to shipping through the Strait of Hormuz persist or if attacks on key energy infrastructure expand. G7 Authorities remain on high alert, weighing the delicate balance between market confidence and potential physical supply risks.
Meanwhile, oil prices surged dramatically to more than $119 per barrel today, reaching levels not seen since mid-2022 and signaling renewed volatility in the global energy markets. Brent crude futures experienced a significant increase, rising by $8.77, or 9.46%, to $101.46 per barrel, while West Texas Intermediate (WTI) crude futures also climbed sharply by $7.92, or 8.71%, reaching $98.82 per barrel.
Earlier in the day, Brent crude briefly recorded its highest level at $119.50 per barrel, marking the largest single-day price jump on record, while WTI similarly surged to $119.48 per barrel, reflecting mounting concerns over supply constraints and geopolitical tensions impacting oil production and distribution. These unprecedented gains underscore the sensitivity of global markets to shifts in energy dynamics and investor sentiment.
