Oil Tops $100; Yields Jump
Oil surged past $100/bbl amid Middle East attacks and Strait‑of‑Hormuz disruption, and the 10‑year Treasury yield spiked to 4.28% as markets priced a 'war premium'—moves that are squeezing airline economics and sharpening interest in propulsion efficiency reported reported.
The International Energy Agency said crude and product flows through the Strait of Hormuz plunged from roughly 20 million barrels per day to a trickle and that Gulf producers cut total output by at least 10 million barrels per day. iea.org Iran’s new supreme leader, Mojtaba Khamenei, said in his first public address on March 12 that the Strait of Hormuz “must definitely continue to be used” as a tool to pressure enemies. cbsnews.com Brent crude momentarily spiked to about $119 intraday amid reported attacks on tankers and threats to choke off the waterway. mansfield.energy Spot northwest European jet fuel traded near $1,536 per metric ton, close to an all‑time intra‑week high of $1,633 per metric ton. money.usnews.com Skift Research estimated U.S. carriers could face roughly $24 billion in extra jet‑fuel costs and would need about an 11% average fare increase to offset that hit. skift.com Cathay Pacific said it would at minimum double fuel surcharges from March 18. upgradedpoints.com The U.S. 10‑year Treasury yield rose to 4.28% on March 13, up from about 3.97% in late February as markets repriced risk. tradingeconomics.com Bloomberg reported traders have sharply pared expectations for Fed rate cuts after the energy shock, effectively removing several cuts previously priced into 2026. bloomberg.com
