The oil price above $100 has returned to global markets as escalating conflict in the Middle East raises fresh concerns about energy supplies, inflation and transport costs.

Global oil prices moved above the psychologically important $100-a-barrel level on Wednesday, 9 September, as escalating conflict in the Middle East increased fears about disruption to global energy supplies.

Brent crude briefly climbed above $100 a barrel as markets reacted to attacks involving Saudi Arabia, Iran and the United States and growing concerns about shipping through some of the world’s most important oil routes.

The latest escalation follows attacks by Iran-aligned Houthi forces on locations in Saudi Arabia, including energy infrastructure.

Saudi authorities reported that dozens of people were injured in attacks on 8 September, while concerns about damage to energy facilities pushed oil markets higher.

Why the Oil Price Above $100 Matters

The oil price above $100 matters because crude oil remains one of the world’s most important commodities.

Oil is used not only to produce petrol and diesel, but also affects transport, aviation, manufacturing, agriculture and the movement of goods.

When oil becomes more expensive for an extended period, businesses can face higher operating costs. Those costs can eventually filter through to consumers through higher transport, food and product prices.

This is why movements in the international oil price are watched closely by governments, central banks, businesses and motorists.

Attacks Raise Concerns About Oil Supplies

Recent attacks in the Middle East have increased concerns about the security of energy infrastructure.

On 8 September, Iran-aligned Houthi forces attacked several locations in Saudi Arabia, including energy facilities. Saudi authorities said dozens of people were injured and some operations were disrupted.

The attacks added to existing concerns about oil exports and shipping through the Gulf and Red Sea regions.

These areas are critical to the global movement of energy supplies.

Strait of Hormuz Under Pressure

There is significant focus on the Strait of Hormuz, a crucial shipping route for crude oil and liquefied natural gas.

On September 9, shipping traffic through the strait was below its recent average.

According to preliminary data reported by Reuters, only six commodity vessels navigated through on Tuesday, in contrast to the 10-day average of 12 vessels.

Any extended disruption in the Strait of Hormuz could impact global oil supplies and exert further upward pressure on prices.

This is one of the main reasons markets are concerned about the oil price above $100 continuing for an extended period.

What Could This Mean for South Africa?

For South Africans, higher international oil prices are important because the country relies heavily on imported crude oil and petroleum products.

A higher international oil price can therefore place upward pressure on domestic fuel costs.

Rising fuel and transport costs can place additional pressure on an economy that is already showing signs of weakness. South Africa’s latest GDP figures showed that the economy contracted by 0.2% in the second quarter of 2026. With the South African economy already contracting in the second quarter of 2026, sustained oil prices above $100 could add further pressure through higher transport, production and consumer costs.

However, a higher Brent crude price does not automatically mean that South African petrol prices will increase by exactly the same amount.

The ultimate fuel price is affected by a variety of factors, such as the global cost of petroleum products, the rand-dollar exchange rate, taxes, levies, and other regulated elements.

If the rand strengthens against the dollar, it can help offset some of the impact of a higher oil price.

If the rand weakens while oil prices are rising, motorists may face greater pressure.

Inflation Concerns Return

Higher energy prices can also contribute to inflation.

Transport costs affect many parts of the economy. Businesses that pay more to move goods around the country may eventually increase prices to recover those costs.

International markets were already showing signs of concern on Wednesday, with rising oil prices contributing to renewed worries about inflation and interest rates.

This means the oil price above $100 could affect far more than motorists filling their vehicles.

It could also influence food prices, transport services, business costs and broader economic confidence.

What Happens Next?

Oil markets will continue watching developments in the Middle East closely.

The major question is whether the current disruption becomes more severe or whether energy supplies continue to flow despite the conflict.

Non-OPEC oil producers have increased production, which has helped limit some of the pressure on global supply. However, uncertainty around Gulf shipping routes means prices could remain volatile.

For South African consumers, the international oil price and the rand-dollar exchange rate will both be important indicators to watch.

The return of the oil price above $100 is another reminder that events thousands of kilometres away can eventually have a direct effect on household budgets in South Africa.

HappeningNews will continue monitoring oil prices and developments that could affect South African consumers.

Source: Reuters