Oil Prices Climb as US-Iran War Continues to Disrupt Middle East Supply
Oil prices are on track for a second weekly gain due to the ongoing US-Iran war, which has disrupted supply from major oil-producing countries in the Middle East. Brent crude futures rose 4 cents to $93.82 per barrel by 0142 GMT, while U.S. West Texas Intermediate crude futures slipped 6 cents to $86.78 a barrel.
The previous week saw Brent gain more than 7% and WTI climb over 8%, reaching their highest since July 24. Prices have climbed on concerns that the inconclusive state of the US-Iran war will mean continued curtailment of supply from major oil producers such as Saudi Arabia, Iraq, the UAE, and Kuwait.
IG analyst Tony Sycamore noted that both sides are 'dug in but lacking the luxury of time to play the waiting game' against a backdrop of crude prices grinding higher. US President Donald Trump threatened economic retaliation against nations supporting Iran, while the United Arab Emirates suspended all financial and economic transactions with Iran until further notice.