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// definition

Brent

Brent Crude

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Energy & geopolitics

Short definition

The global benchmark crude, sourced from the North Sea and quoted in London. With WTI, one of the two reference prices of the oil market.

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Intuition

Brent is the marginal world price of crude. It reacts more directly to shipping-route shocks, OPEC+ and Asian demand.

Formula

geopolitical premium ≈ stressed Brent - price consistent with inventories and demand

Why it matters now

The post-Hormuz normalisation and Chinese reserves make Brent useful for separating physical scarcity from risk premium.

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