Commodities

Oil and gold rally as Iran locks down key oil route to US and Israeli allies

By Bullbit Editorial · March 27, 2026

WhatOil and gold prices surged by **5%** and **2%** respectively as Iran blocks the Strait of Hormuz, a key oil route.
WhyThe blockade exacerbated global energy instability, prompting economic strain and geopolitical tensions worldwide.
SignalThe move is seen as a strong signal of Iran's growing tensions with the US and Israeli allies.
TargetGlobal oil prices are expected to hit **$120** per barrel by the end of Q2 2026.
RiskThe blockade poses a significant risk to global economic stability, with potential losses estimated at **$1 trillion**.