finance

Physical Brent nears $150 as Iran disruptions squeeze supply

Spot Brent jumped to $141.37 as Strait of Hormuz exports collapsed, forcing buyers to pay steep premiums and creating an unprecedented gap with front-month futures.

Apr 3rd 2026 · Iran

Insights

  • Dated Brent reached $141.37, the highest level since 2008.
  • Front-month Brent futures trade near $109, leaving about a $32 gap with Dated Brent.
  • The large spread reflects an acute physical supply shortage rather than speculative buying.
  • Daily transits through the Strait of Hormuz fell from about 130 to low single digits last month and remain severely reduced.
  • Dubai and Omani crudes are trading above $150 while WTI has surpassed Brent by $3 as traders shift to US supply.
  • Analysts warn a prolonged conflict could push front-month Brent toward $200 and increase recession risks for energy-importing countries.