Oil Prices Mixed Amid Middle East Tensions and Russia-Ukraine Hopes

Oil prices were mixed on Thursday as investors weighed concerns about Middle East escalation and the possibility of a Russia-Ukraine peace deal. The Brent crude futures contract settled down 11 cents, or 0.12%, at $95.52 a barrel, while the U.S. West Texas Intermediate crude futures contract rose 29 cents, or 0.32%, to $91.30.

The market was supported by renewed concerns about disruption to Middle East supplies following U.S. strikes on Iran and Israeli threats against Tehran. However, comments from Russian President Vladimir Putin indicating openness to peace negotiations with Ukraine could help ease concerns about Russian fuel supply disruptions.

UBS analyst Giovanni Staunovo said that the market would watch out if the recent U.S. strike was a one-off event or not. Meanwhile, Israeli Defence Minister Israel Katz renewed warnings that Israel would 'cripple' Iran's military and civilian infrastructure, including energy facilities, if Tehran launched attacks against it.

Comments from Russian President Vladimir Putin indicating openness to peace negotiations with Ukraine could help ease concerns about Russian fuel supply disruptions if attacks on refineries decline and production normalizes. This factor pressured prices on Thursday, according to Phil Flynn of Price Futures Group.