Oil prices showed a significant increase at the beginning of trading on Sunday, October 1st, following military strikes by the United States and Israel that killed Iran's Supreme Leader, Ali Khamenei. The Brent crude oil benchmark was trading at approximately $80 per barrel, reflecting a nearly 10% rise by around 8 PM Brasília time. This sharp increase comes after a previous rise of about 2% on the preceding Friday as investors braced for potential disruptions in oil supply due to escalating tensions in the region.

The surge in oil prices is primarily driven by investor concerns regarding traffic restrictions in the Strait of Hormuz, a critical waterway through which approximately 20% of the world's oil production is transported, largely controlled by Iran. The geopolitical tensions have caused apprehension over the stability of oil supply routes, impacting market sentiment significantly. Traders are worried that the ongoing conflict could lead to further bottlenecks in an essential oil transit route.

Despite the Organization of the Petroleum Exporting Countries (OPEC+), led by Saudi Arabia, agreeing to a production increase of 206,000 barrels per day starting in April, analysts have cautioned that the added supply may not adequately address the heightened demand and potential shortages stemming from the recent military activities and regional instability. This situation indicates that the oil market may continue to experience volatility as geopolitical tensions persist.