Tensions Fuel Crude Oil Price Surge Amid US-Iran Conflict
Renewed US-Iran hostilities have sparked fears of global energy supply disruptions, driving crude oil futures up for the sixth consecutive session.
The conflict has led to a surge in Brent and West Texas Intermediate (WTI) prices in global markets. The price of Brent oil futures for November delivery rose by $2.36, or 2.5 per cent, to $97.01 per barrel on the Intercontinental Exchange (ICE). WTI for the October contract also increased, trading 0.57 per cent higher to $90.73 per ounce on the New York Mercantile Exchange (NYMEX).
Kaynat Chainwala, AVP Commodity Research at Kotak Securities, noted that with no signs of de-escalation, crude retains an upward bias, although stretched positioning leaves prices vulnerable to a sharp reversal following any credible ceasefire.