Crude spike driven by Mideast tumult may be a ‘knee jerk’ that quickly fades: analyst

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CALGARY — An analyst says a spike in crude prices driven by the latest Mideast turmoil could be a knee-jerk reaction that quickly subsides.

Enverus commodities expert Al Salazar says unless there is a sustained disruption in global crude oil supplies as a result of Israel’s attacks on Iran, prices should return to normal in fairly short order.

In the early afternoon, West Texas Intermediate crude was at US$71.89 a barrel, an almost six per cent increase from a day earlier.

Fuel prices at the pump may see a bit of a pop in the coming days, but Salazar doesn’t expect it to last unless there are longer term supply constraints.

Fuel price-tracking website Gasbuddy.com says the national average price for a litre of unleaded gasoline in Canada is 135.8 cents a litre, up less than a cent day-over-day.

The energy subindex on the S&P/TSX composite index was up 1.4 per cent on a day that the overall Canadian market was sagging.

This report by The Canadian Press was first published June 13, 2025.

Lauren Krugel, The Canadian Press