US-Iran Conflict Drives Brent Crude Above $105 per Barrel
Brent crude oil prices rose above $105 per barrel on Thursday as concerns over supply disruptions intensified due to the ongoing US-Iran conflict.
The international benchmark, Brent crude, climbed 4% to $105.24 per barrel, reaching levels not seen since May. The US benchmark West Texas Intermediate (WTI) increased by a slightly larger margin, rising 4.4% to $100.27 per barrel and surpassing the $100 threshold for the first time since May.
The escalation of the conflict has led to fears of prolonged disruptions to global energy supplies, with senior White House advisers privately discussing the possibility that the conflict could continue through the remainder of President Donald Trump's term, according to a report in the Wall Street Journal. This comes after Trump stated on Wednesday that the war would 'end immediately' following the November 3 midterm elections.
The rising geopolitical risks have reversed part of the sharp decline recorded in oil markets earlier this year, with WTI recovering its losses from early June and July, while Brent is trading well above its early-June levels.