Skip to content
You can now search across every topic, entity and event.What's new
Iran Conflict 2026
21APR

Brent settles $105.30 with no fresh seizure

3 min read
10:51UTC

Brent crude settled at $105.30 on 25 April with intraday prints above $106 and a weekly gain of roughly 18%. The talks collapse alone is now the bullish driver, not fresh kinetics.

ConflictDeveloping
Key takeaway

Brent at $105 has been repriced as the baseline; future incidents push from there, not from $67.

Brent crude settled at $105.30 on 25 April with intraday prints above $106 and a weekly gain of roughly 18% per The National 1. This is the second consecutive session above $105, 57% above the $67.41 pre-war baseline and a continuation from the $105.73 close on 24 April . No new IRGC seizure occurred on 25 April, and the dark-shipping picture from the Larak-Qeshm carve-out was unchanged.

The price moved on the absence of a diplomatic resolution rather than on a fresh provocation. That is a structural shift: the market has stopped treating each diplomatic failure as a temporary setback and is pricing the absence of a resolution track as the default scenario. The repricing matters because future seizures will now push the price from $105 rather than from $67, amplifying the economic shock of any tactical escalation. UK and European pump prices follow Brent with a one-to-two-week lag.

The options curve confirms the shift. With the baseline reset, any de-escalation announcement becomes disproportionately bearish rather than merely corrective, which makes the political incentive structure for Tehran and Washington asymmetric: Iran loses revenue floor on a deal, and US consumer pump prices ease only after a deal is concrete enough to clear forwards. Brent at $105 is the new floor, not a ceiling.

Deep Analysis

In plain English

The price of oil affects almost everything: petrol at the pump, heating bills, the cost of goods moved by truck or ship. The benchmark price for much of the world's oil is called 'Brent crude', named after a North Sea oil field. Before the Iran war began, Brent was around $67 a barrel. On 25 April it closed at $105.30. That is a rise of nearly 57%, and it happened in under two months. Oil markets usually react strongly to specific events (a ship seized, a factory bombed). What is significant about Saturday's price is that nothing new happened: no IRGC boarding, no strike, no military escalation. The price stayed above $105 purely because traders stopped believing the war would end soon. When the diplomacy collapses and traders update their expectations, prices move even without a physical event.

Deep Analysis
Root Causes

Each Islamabad channel failure narrows the oil market's probability distribution around a near-term diplomatic resolution. When Islamabad 3 collapsed via Trump's Truth Social post, traders priced the event harder than a formal diplomatic postponement would have warranted, because a social-media cancellation carries no institutional machinery for reversal.

The ceasefire is nominally in force, but CENTCOM's interdiction count reached 33 on 25 April while the naval blockade continues. Traders have concluded that a nominal ceasefire does not translate to resumed Hormuz commercial transit. Until a deal explicitly addresses the blockade, the $38/bbl structural premium over the pre-war baseline persists regardless of individual daily incident counts.

What could happen next?
  • Consequence

    European and Asian central banks running quarterly inflation assessments in May will incorporate $105+ Brent into their forecasts, likely deferring planned interest rate cuts by one to two quarters.

  • Risk

    Goldman Sachs's $120 Q3 severe scenario becomes the base case rather than the tail risk if both the Islamabad diplomatic track and the AUMF congressional track fail before 1 May.

First Reported In

Update #79 · Islamabad 3 collapses; Witkoff grounded, talks stall

Al Jazeera· 25 Apr 2026
Read original
Different Perspectives
International Group of P&I Clubs
International Group of P&I Clubs
The Group has kept its Hormuz war-risk exclusion in force through the entire shipping recovery, even as London hull war-risk premiums fell to about 2% of vessel value. A burning LNG carrier off Limah is now the fresh case for holding that line, with mutual pooling meaning one hit reprices the strait for every owner at once.
Jordan
Jordan
Jordan's government said no threats existed at Aqaba hours before Iranian missiles landed there, and has not addressed the IRGC's claim that Jordanian civilians and soldiers supplied targeting intelligence for the strike. Amman hosts forces it does not command and is saying as little as it can.
United States (CENTCOM)
United States (CENTCOM)
The Pentagon named two of the seventeen American dead, 1st Lieutenant Tyler Feehan and Private Isabella Gonzales, both killed at Jordan's Muwaffaq Salti Air Base, days after its Amman embassy had warned citizens away from Aqaba's airport and seaport. Washington is naming its own cost while flagging threats it declines to attribute publicly.
Iran
Iran
Iran said on Monday it disabled two oil tankers crossing the Strait of Hormuz without its permission, asserting a right to license passage through the strait it borders. Tehran named neither vessel, and CENTCOM had already denied a comparable Iranian claim on 18 July.
Qatar
Qatar
Qatar moved from summoning Iran's deputy ambassador on 8 July to a dated written claim at the UN Security Council thirteen days later, citing Resolution 2817 and reserving its Article 51 right of self-defence. Doha is building a permanent record while still hosting CENTCOM's forward headquarters and mediating with Tehran.
CENTCOM
CENTCOM
CENTCOM confirmed a third American service member died in northern Iraq on 19 July clearing unexploded ordnance from a downed Iranian drone, and recovered unidentified remains at Muwaffaq Salti Air Base in Jordan. The Pentagon has framed its Khuzestan strikes as degrading IRGC capacity, a rationale that stretches to explain a reactor foundation with no nuclear material in it.