Middle East Tensions Spark Oil Price Rebound

Oil prices rebounded on Wednesday after joint US-Saudi military strikes against Iranian-aligned groups in Iraq raised concerns over potential disruptions to Middle East energy supplies.

The US military's Central Command said that US and Saudi forces carried out precision strikes against Iranian-aligned groups and their sites in Iraq, responding to more than 30 drone attacks directed by Iran's Islamic Revolutionary Guard Corps (IRGC) over the previous 72 hours.

Brent crude futures for October traded at $84.64 per barrel, up 3.12% from the previous close of $82.08, while US benchmark West Texas Intermediate (WTI) futures for September increased 3.57% to $82.09 per barrel.

The Saudi Defense Ministry said that joint strikes against targets belonging to Iran-aligned groups in Iraq were carried out in response to attacks launched from Iraqi territory on petroleum facilities in the kingdom.