Middle East Tensions Send Oil Prices Soaring

Oil prices continued their upward trend, driven by concerns over supply disruptions in the Middle East. Brent crude futures settled at $104.61 a barrel, while US WTI crude finished at $100.05 a barrel.

The weekly gains for both benchmarks were substantial, with Brent rising 8.7% and WTI gaining 9.4%. However, prices reversed early gains on Friday after reports of a potential deal between Iran and foreign ministers in the Middle East to manage shipping through the Strait of Hormuz.

Despite this development, vessel transits at the strait fell to seven on Thursday from 11 the previous day, highlighting ongoing concerns about supply disruptions. The Strait of Hormuz handles about 125 commodity vessels and one-fifth of global daily oil and liquefied natural gas supplies.