Oil Prices Steady Amid Supply Disruption Risks
Oil prices remained relatively stable on Wednesday after briefly hitting one-month highs earlier in the session. Traders were weighing the risks of supply disruptions following overnight US and Iranian strikes against the backdrop of continued crude supplies reaching the market.
Brent crude futures rose 9 cents, or 0.1%, to $94.74 a barrel by 0805 GMT, while U.S. West Texas Intermediate crude futures lost 19 cents, or 0.21%, to $90.03. The prices had earlier climbed to their highest levels since July 24, reaching session highs of $97.04 and $92.29 a barrel, respectively.
The market is facing a 'binary risk', according to Saxo Bank's head of commodity strategy Ole Hansen. An announcement that a deal has been reached or progress is being made could send prices tumbling, while any escalation would further undermine the prospect of a peace deal.