Middle East Tensions Send WTI Futures Soaring
WTI Futures (USOIL-F) surged by 2.55% on September 14, driven by escalating geopolitical tensions in the Middle East.
The rising risk of supply disruptions across critical energy infrastructure and maritime transit routes prompted market participants to aggressively reprice the global geopolitical risk premium.
A combination of lean commercial inventories and unyielding refinery intake left the physical market balances vulnerable to external supply shocks, leading to a significant upward price adjustment.