Prices react to latest update from Iranian officials
It was a day of two halves at the NBP on Wednesday, with the morning trade seeing contracts moving in the same narrow range established over the past few sessions, but the afternoon session brought a swift change in sentiment
A series of statements from Iranian officials served as the prime source of support during afternoon trading with the Winter 26 front-season going up by 7.1% higher when compared to its previous close.
An anonymous, high-ranking security source spoke on Iran’s state-run Press TV warning of “unprecedented action” should the US blockade continue.
The speaker of Iran’s Parliament also warned that the Strait of Hormuz would “not remain open” if the US blockade continued.
British power prices also posted the largest daily increases in several weeks, with a bullish wider energy complex offering firm support into the close.
According to data from ICE, the benchmark contracts for natural gas, and crude oil posted considerable upside in response to comments from the Iranian regime that indicated a willingness and resilience to continue the ongoing conflict and the blockade of Hormuz.
Brent Crude, Europe’s primary benchmark for North Sea oil flows from the UK and Norway, climbed 6.1% day-on-day.
The benchmark also displayed exceptionally high volatility this morning, soaring to almost 10-year highs (above $126/bbl) in the early hours of Thursday, though it has since corrected lower.
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