Bahrain and Iraq bore some of the heaviest consequences of Iran’s latest military strikes Thursday, as fuel storage sites were attacked and oil exports were halted, contributing to another day of near-triple-digit oil prices on world markets. The attacks are part of a broader Iranian offensive against the economic infrastructure of Gulf nations aligned with the United States and Israel. The human and economic costs of the campaign are becoming increasingly visible.
Bahrain ordered residents in the Muharraq Governorate to shelter at home after Iranian forces struck fuel tanks in the area. Iraq suspended all operations at its oil export ports following attacks on two tankers in adjacent waters, cutting off a significant volume of crude supply. The simultaneous loss of supply from two countries on a single day illustrated the scale of Iran’s coordinated economic offensive.
Oman cleared its Mina Al Fahal terminal of vessels following drone strikes at a neighboring port. The Thai-flagged Mayuree Naree was struck near the Strait of Hormuz, leaving three crew members reported trapped. The Strait of Hormuz itself has been closed to normal traffic since February 28, blocking the passage of about a fifth of global oil and gas.
Brent crude gained 9% Thursday to touch $100.29 before settling around $98. West Texas Intermediate climbed 8.6% to $94.75. The IEA’s record 400-million-barrel emergency release and the US’s 172-million-barrel Strategic Petroleum Reserve drawdown were announced but failed to cool markets as fresh attacks overshadowed the supply boost.
Goldman Sachs raised its Q4 2026 Brent forecast to $71 per barrel. Deutsche Bank warned of stagflation risks. Japan’s Nikkei fell 1.6%, South Korea’s Kospi declined 1.2%, and European gas added 7.7%.