US-Iran Conflict Drives Oil Prices Up for Fifth Straight Session
Oil prices rose for the fifth consecutive session on Thursday due to concerns about the ongoing conflict between the US and Iran, which is disrupting supply from the key West Asian producing region.
The Brent crude futures for October delivery increased by 26 cents or 0.28% to $91.87 a barrel, while the US West Texas Intermediate (WTI) crude futures for September rose by 17 cents to $86 a barrel. The more-active October WTI contract gained 12 cents or 0.13% to $89.91.
According to Hiroyuki Kikukawa, chief strategist of Nissan Securities Investment, the market is likely to maintain a gradual upward trend due to uncertainty over peace talks and tensions involving the United Arab Emirates, Oman, and Iran.
The UAE's decision to suspend all financial and economic transactions with Iran has refocused attention on strained ties between the major Gulf Arab oil producer and Iran. The war in the region has also impacted the supply of refined fuels, leading to lower inventories.