Global oil prices surged on Wednesday, July 22, 2026, as the escalating conflict between the United States and Iran rattled markets and raised fresh fears over possible disruptions to energy supplies.

Brent crude briefly climbed above $94 per barrel after President Donald Trump warned that the United States was “not finished” attacking Iran.

The sharp rise in oil prices came as fresh U.S. strikes triggered air defences across Iran, while stock markets in Asia surrendered earlier gains and European markets edged higher.

The latest U.S. attacks targeted, among other sites, what the military described as “military logistics infrastructure”. Iranian state media also reported strikes in several parts of the country, including Bushehr, home to a nuclear power plant.

Trump also warned that the United States would “take care of” Yemen’s Iran-backed Houthi rebels if they followed through on threats to blockade Saudi Arabia’s ports.

Such a development could have severe consequences for the global economy, given the strategic importance of the region to international trade and energy supplies.

“Our view is that we’ll be… in this $80-to-$90 range, depending on the news flow,” Jay Hatfield of Infrastructure Capital Management said while commenting on the oil market.

“If we actually have a closed Red Sea, that’s a threat. We haven’t seen that yet. That could shoot us over $100,” Hatfield told Bloomberg News.

The Houthis have previously attempted to disrupt shipping through the Red Sea by leveraging the Bab al-Mandab Strait, a major maritime chokepoint at the southern end of the waterway through which vessels travel to and from the Suez Canal and the Mediterranean.

The conflict also continued to influence global financial markets. Asia’s technology stocks rose for a second consecutive day, mirroring overnight gains on the Nasdaq. Tokyo’s market climbed by nearly two per cent at one point before closing slightly lower, while Seoul also surrendered earlier gains before ending the session almost one per cent higher.

Markets in London, Paris and Frankfurt recorded modest early gains.

“During the early phase of the (AI stock) boom, companies were rewarded simply for announcing larger investment plans,” Stephen Innes of SPI Asset Management said.

“A higher spending guide may still support chip demand, but it also raises questions about free cash flow, funding needs and how much of the future is already embedded in valuations,” he added.

Investors were also awaiting corporate earnings reports from Tesla and Google parent Alphabet later on Wednesday, while Microsoft, Meta, Apple and Amazon were expected to release results the following week.

On currency markets, the Japanese yen came under renewed pressure after falling below 163 to the dollar late on Tuesday, reaching its weakest level since 1986. The rise in oil prices was among the factors weighing on the currency.

Comments by Japan’s Finance Minister, Satsuki Katayama, that the country was prepared to take “appropriate and bold action at any time” did little to strengthen the yen.