NEW YORK, United States — Global energy markets were thrown into chaos on Friday, March 6, 2026, as oil prices skyrocketed amid an escalating war in the Middle East. Simultaneously, stock markets on Wall Street and in Europe retreated following disappointing U.S. labor data.
The conflict between the U.S.-Israel alliance and Iran has severely disrupted global supply chains, specifically at the Strait of Hormuz, where 20% of the world’s crude oil and LNG pass through.
- Brent Crude: Surged 8.5% to $92.69 per barrel. It gained nearly 30% for the week.
- WTI: Soared more than 12% to over $90 per barrel.
- Escalation: U.S. President Donald Trump stated that only the “unconditional surrender” of Iran would end the war, dashing hopes for a quick resolution and fueling fears of long-term supply shortages.
- Production Hits: Attacks on oilfields in southern Iraq and Kurdistan have forced a U.S.-run field to shut down, while Kuwait has begun cutting production due to a lack of storage capacity.
Disappointing U.S. economic data typically leads to hopes of interest rate cuts, but soaring oil prices have complicated the Federal Reserve’s path.
- Job Losses: The U.S. economy unexpectedly lost 92,000 jobs in February, a sharp drop from January’s growth.
- Inflation Fears: High energy prices are expected to trigger a fresh spike in inflation, making it difficult for central banks to cut rates. Analysts have already pushed back expectations for a Fed rate cut from June to September.
- Wall Street: Main indices finished down by around 1% or more.
- Europe: Markets across the continent mirrored the U.S. sell-off, finishing with 1% losses.
- Boeing Exception: A rare gainer, Boeing rose 4.1% following reports of a major sales deal with Chinese airlines.
