Oil Prices Retreat After Briefly Topping $100 Amid Escalating Middle East Conflict

Oil prices retreated on Friday after breaching $100 a barrel earlier in the week, as tensions in the Middle East continued to escalate. Brent crude dipped 2.0% to $98.65 a barrel by 0910 BST.

This marked the first settlement price above $100 since May 22, with prices rising for the fifth consecutive session on Thursday due to ongoing conflict in the region.

AJ Bell's investment director Russ Mould noted that Brent has 'firmly returned to alarm bell territory', citing the lack of prospects for tensions easing in the short term.

Market strategist Patrick Munnelly pointed out that oil's 38% surge this month overshadowed recent lower readings on US consumer and wholesale inflation for June, with Middle East risks remaining a core driver.