Economy 4 min read By Alice Ashford
Brent Crude Climbs to $116.25 a Barrel on Eastern Time Trading
Oil prices stand at $116.25 per barrel this morning, a significant rise compared with the previous day and the previous year, while consumers feel the effects at the gas pump.
The price of crude oil reached $116.25 per barrel at 7 a.m. Eastern Time on October 28, 2026, measured by the benchmark grade Brent. Compared with the previous day, this corresponds to an increase of $1.12; year on year, the price is around $52 higher. Compared with the level one month ago, the gain is just under 13 percent, and compared with one year ago, more than 80 percent.
Brent is considered the most important global oil benchmark, as a large part of the world's traded crude oil is priced against it. West Texas Intermediate (WTI), by contrast, is the central reference for North America. The U.S. Energy Information Administration likewise uses Brent as its main benchmark in its Annual Energy Outlook. During trading hours, the price on the futures markets changes continuously, because buyers and sellers constantly enter into contracts for future deliveries.
According to the report, it cannot be predicted with certainty whether the oil price will continue to rise. Supply and demand are considered the most important influencing factors, while concerns about an economic slowdown, conflicts, or similar shocks can move prices quickly. Decisions by OPEC+ as well as geopolitical news also affect price formation. In the United States, the extent to which the government supports production also plays a role, since this influences future supply.
For motorists, the crude oil price is the single largest factor in the price of gasoline at the pump. Refining costs, distribution costs via wholesalers, taxes, and the margin of the individual filling station are added on top. Crude oil typically accounts for more than half of the cost per gallon. When the oil price rises, the gasoline price usually follows in the short term. When it falls, pump prices generally decline only slowly, a pattern known as "rockets and feathers."
Oil prices have historically been subject to strong fluctuations. In the early 1970s, a supply embargo by the Gulf states during the Yom Kippur War triggered the first major oil shock. In the mid-1980s, prices fell, partly due to weaker demand and the entry of additional non-OPEC producers. In 2008, prices rose again with growing global demand but collapsed during the global financial crisis. During the COVID-19 lockdowns in 2020, demand collapsed as never before, and the price temporarily fell below $20 per barrel.
For security of supply, the United States maintains the Strategic Petroleum Reserve, a government-owned crude oil reserve. It is intended to secure energy supplies in emergencies such as sanctions, severe storm damage, or war, and can cushion sudden price spikes caused by supply disruptions. However, it is not regarded as a permanent solution; its main purpose is to keep critical sectors such as key industries, emergency services, and public transport running.
Natural gas is also affected. When oil prices rise, industrial companies can, where possible, switch to natural gas, which increases demand for gas. High energy costs also feed into general inflation: more expensive energy raises the cost of heating and utilities, and higher transport costs are passed on to supermarket prices, since goods must be moved from warehouses and farms to store shelves.
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