As motorists throughout the UAE look forward to the March 2026 gas worth announcement, world oil markets are sending blended alerts. February introduced aid on the pump, however a pointy rebound in crude costs, pushed largely by renewed US-Iran tensions, is elevating the likelihood that March may reverse that development.According to Khaleej Times, gas turned cheaper once more in February. Prices for Super 98, Special 95 and E-Plus 91 have been lowered by round eight to 9 fils per litre, bringing them to Dh2.45, Dh2.33 and Dh2.26 respectively. That marked the second consecutive month-to-month lower since December. Diesel costs have been additionally adjusted downward.However, the worldwide oil image has shifted.Khaleej Times reported that Brent crude crossed the $71 per barrel mark throughout February amid fears of a possible US-Iran army battle. By Tuesday night, Brent and WTI have been buying and selling at $66.31 and $71.38 per barrel respectively. The common closing worth of Brent stood at $68.9 per barrel in February, in comparison with $63.47 the earlier month.Energy analysts say geopolitics is now firmly in command of market sentiment.Daniel Yergin of S&P Global famous that oil presently carries a few $10 “premium” linked to uncertainty surrounding US-Iran tensions, with Brent touching $72.33 on February 23.Norbert Rücker, head of economics and subsequent technology analysis at Julius Baer, mentioned the US-Iran battle is dominating the oil market and that costs are inflated with what he described as a “decent geopolitical risk premium.”“A military clash seems inevitable, but such an escalation does not necessarily come hand-in-hand with oil supply disruption, as the past years have shown on multiple occasions. More importantly, today’s oil market is very supply-resilient, thanks to ample storage, production exceeding consumption, and spare output capacity,” he mentioned.He added: “While we are unsure whether the current bounce will top out in the high $70s or high $80s, we have more confidence in the view that the risk premium will wane and oil prices return to below $60 towards mid-year. Amidst today’s geopolitics, we stick to our neutral view.”Meanwhile, insurance coverage premiums for ships passing via the Strait of Hormuz have risen after Tehran quickly closed the strait for a number of hours, based on earlier reporting by Khaleej Times. The waterway is a vital artery for world power flows.Daniela Hathorn, senior market analyst at Capital.com, mentioned: “Oil markets have also come back into focus as tensions in the Middle East intensify. Brent crude has moved above the $70 level, supported by rising geopolitical risk. Iran’s strategic position near the Strait of Hormuz, through which roughly 20 per cent of global oil supply flows, means any disruption could have significant consequences.”The UAE opinions petrol and diesel costs month-to-month, basing changes on the earlier month’s common world oil costs and refined gas prices. When crude rises, pump costs are likely to observe; when it falls, aid often reaches motorists.With Brent averaging larger in February than in January, and geopolitical dangers nonetheless simmering, March costs could not supply the identical respiratory room drivers loved final month.
