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Iran Conflict 2026
29OCT

Brent above $116, set for record month

2 min read
17:49UTC

Brent crude advanced above $116, up 72% from pre-war levels and heading for its largest monthly increase on record. Markets are pricing prolonged conflict, not resolution.

ConflictAssessed
Key takeaway

Markets are pricing prolonged war, not imminent resolution.

Brent Crude advanced above $116 per barrel on 30 March, approximately 72% above its pre-war level of $67.41.⁠1 The monthly gain is heading for a record. Goldman Sachs maintained a $14 to $18 per barrel geopolitical risk premium is baked into the price. Global stock markets extended their selloff as Houthi entry and the US military build-up stoked prolonged-conflict fears.

The price trajectory tells the story of a market that has abandoned hope of a quick resolution. Brent settled at $112.57 on 28 March, already elevated by Houthi entry. Trump's oil seizure statement, the third consecutive Houthi attack on Israel, and Pentagon confirmation of ground operations planning pushed it above $116 two days later.

AIS tracking data paints a bleaker picture than headline prices suggest. Shadow fleet vessels account for 80% of Hormuz transits in March, up from 15% in February. Legitimate commercial traffic has effectively stopped: approximately three transits per 24 hours against a pre-war baseline of 138. The Hormuz 'reopening' is a reorganisation of traffic to benefit non-US-aligned operators, denominated in yuan, under IRGC naval supervision.

The 6 April deadline for Trump's power plant strike threat is six days away. If the deadline passes without diplomatic movement and the 82nd Airborne stages forward from Kuwait, Goldman's risk premium estimate will need revision upward. Every dollar on Brent translates to approximately 2.5 pence per litre at UK petrol pumps within a week.

Deep Analysis

In plain English

Brent Crude is the main international benchmark for oil prices. Before the war started, a barrel of oil cost $67. By 30 March it cost over $116. That is a 72% increase in one month. Higher oil prices feed through into everything: petrol and diesel costs, heating bills, the price of food and goods that are transported, and the cost of making plastic and chemicals. The monthly increase is on track to be the largest in recorded history. Goldman Sachs, the US bank that tracks commodity prices, says there is an extra $14 to $18 on every barrel just because of the war risk. The closer US ground forces get to Iran's oil export terminal at Kharg Island, the higher the risk premium is likely to rise.

What could happen next?
  • Risk

    The 6 April power plant strike deadline, with no diplomatic movement, risks a further price spike beyond Goldman's current risk-premium estimate if Trump follows through.

  • Consequence

    The IEA's 400 million barrel emergency release has not stabilised prices. Markets are treating this as a structural supply disruption, not a temporary spike amenable to reserve releases.

First Reported In

Update #52 · Trump wants Iran's oil; 3,500 Marines land

Bloomberg· 30 Mar 2026
Read original →
Different Perspectives
United States (Joint Maritime Information Center)
United States (Joint Maritime Information Center)
The JMIC, the US-led naval reporting cell, rated the Hormuz threat "severe" in its 25 October advisory, as reported by gCaptain, and warned of possible renewed mining. Eight days earlier it found no substantiation for the Guards' mine claims, while US-facilitated transits ran at about 34 a day.
United Kingdom (CPS and Counter Terrorism Policing)
United Kingdom (CPS and Counter Terrorism Policing)
The CPS charged two men under the National Security Act 2023 over the RAF Fairford incident, and Counter Terrorism Policing said it believes the foreign intelligence service involved is Iran's, LBC reported. The case now runs through the courts; both men are charged, not convicted.
Aden and Yemen's recognised government
Aden and Yemen's recognised government
The Houthis told people to leave Aden airport, in the government-held south, before a missile fell there on 28 October, AFP reported, and police reported a second attack that afternoon. The fight between Riyadh and the Houthis is landing on the south's main civilian airport.
Qatar (mediators)
Qatar (mediators)
Qatar-led mediators put new terms to Iran this week, which an Iranian official called "ideas, not a proposal". Riyadh framed the Tehran meeting as support for Qatari and Pakistani mediation, keeping Doha at the centre of the indirect channel.
Korea Shipowners' Association
Korea Shipowners' Association
The association said the ships Iran listed were sub-chartered to an overseas oil company, not owned by Sinokor, carried no South Korean crew, and that Sinokor was unaware of the warning. South Korea's shipowners are contesting whose vessels the notice covers before it takes effect.
Kuwait (foreign ministry)
Kuwait (foreign ministry)
Kuwait summoned Iran's ambassador, Mohammad Toutounji, and handed him a protest note over the embassy's denial that its citizen took part in the alleged plot against Interior Minister Fahad Al-Yousef. Kuwait is answering through its courts and a diplomatic protest, citing international law and the UN Charter.

Written with AI from Lowdown's published reporting. Not individually reviewed by an editor. Editorial standards.