4 minBusiness
Oil prices climb to $94.11 per barrel, up 37% from a year ago
Brent crude traded at $94.11 per barrel Tuesday morning, up $1.08 from the previous day and roughly $25.40 higher than a year ago, as supply concerns and geopolitical risks continue to shape the market.
Oil prices rose again Tuesday morning, with Brent crude trading at $94.11 per barrel as of 8 a.m. Eastern Time. That marks an increase of $1.08 from yesterday's level and puts the benchmark roughly $25.40, or about 37 percent, above where it stood a year ago.
The latest move extends a period of notable volatility in energy markets. One month ago, oil was priced at $94.93 per barrel, meaning the current level is actually down about 0.86 percent over that stretch. The year-over-year comparison, however, tells a starker story: at this time in 2025, a barrel of Brent crude cost $68.72.
Analysts caution that forecasting where oil prices head next is inherently uncertain. The market is shaped by a complex mix of supply and demand dynamics, and events such as a potential recession or escalating conflict can quickly shift sentiment. OPEC+ decisions, U.S. drilling policy, and global economic conditions all feed into the daily price movements that consumers eventually see at the pump.
The connection between crude oil prices and gasoline costs is direct but not one-to-one. When drivers fill up, they are paying not just for the oil itself but also for refining, wholesale distribution, taxes, and the local station's markup. Still, crude typically accounts for more than half the cost of a gallon of gas. When oil prices jump, pump prices tend to follow quickly; when they fall, retail prices often decline more slowly, a pattern sometimes described as "rockets and feathers."
For context on how the current price fits into longer-term trends, Brent crude has experienced dramatic swings over the decades. The early 1970s saw the first major oil shock when Middle Eastern producers slashed exports and imposed an embargo on the U.S. and others during the Yom Kippur War. Prices fell in the mid-1980s amid lower demand and an influx of non-OPEC producers. A surge in 2008, driven by strong global demand, was followed by a crash during the financial crisis. During the 2020 COVID lockdowns, demand plummeted so sharply that prices briefly fell below $20 per barrel.
In the U.S., policy decisions also play a role in shaping future supply. In 2025, the Trump administration moved to reopen more than 1.5 million acres in the Coastal Plain of the Arctic National Wildlife Refuge for oil and gas leasing, reversing the previous administration's restrictions on Arctic drilling. Such moves can influence expectations about future production and, by extension, prices.
Higher oil costs also ripple through the broader economy. Expensive crude tends to raise the price of everyday goods, partly through energy costs like heating and utilities, but also through logistics. Shipping expenses, for example, can push up grocery prices as products move from warehouses and farms to store shelves.
The U.S. maintains the Strategic Petroleum Reserve as a backup supply intended to protect energy security during crises such as sanctions, severe storm damage, or war. The reserve can help cushion the blow when supply shocks send prices soaring, though it is not designed to address long-term problems. Its purpose is to provide temporary relief for consumers and keep essential industries, emergency services, and public transit functioning.
Oil and natural gas prices are also linked, as both are primary energy sources. When oil prices rise, some industries may switch to natural gas where feasible, increasing demand for gas and potentially pushing its price up as well.
Brent crude remains the main global benchmark for tracking oil performance, and the U.S. Energy Information Administration now uses it as the primary reference in its Annual Energy Outlook. West Texas Intermediate, by contrast, serves as the main benchmark for North America.
