Brent tops $105 as Strait of Hormuz attacks rattle European fuel costs

European businesses face higher fuel costs after Brent crude surged above $105 a barrel (€97) following new tanker attacks in the Strait of Hormuz and Houthi seizure of Yemen's Mocha port, per Reuters and Anadolu Ajansı. The rally, up 25% since August, adds to inflation pressure and keeps interest rates high.

Bottom line — Brent crude has gained 25% since August, with Bank of America analysts forecasting $95–$120 (€86–€109) if Hormuz stays blocked.

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• Oil transit through the Strait of Hormuz has collapsed to under 2 million barrels per day, down from 8–9 million before the conflict, per Rystad Energy data reported by Reuters.
• Iran-backed Houthis captured Mocha port on Yemen's west coast, threatening the Bab al-Mandab Strait and alternative Red Sea routes, according to Yemeni military sources and eyewitnesses cited by Bluewin.ch.
• Global oil inventories fell by 69 million barrels in July, and 8.3 million barrels per day of Middle Eastern production remain offline, the IEA reported, per Blockonomi.
• China, the world's largest crude importer, reduced purchases and tapped strategic reserves to cushion the shock, but its imports are now recovering—a shift that could amplify price rises, warned IMF economist Krishna Srinivasan, per BankingNews.gr.
• US President Donald Trump said the war would end 'immediately after the election,' but senior advisers privately told the Wall Street Journal it could last through his term, according to Anadolu Ajansı.
• India, which relied on the Middle East for nearly half its crude imports, saw its import bill rise 60% year-on-year in the April–June quarter, per OilPrice.com.

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