Oil rises on Middle East risks

Global crude prices moved moderately higher on Tuesday, October 6, as lingering Middle East tensions preserved a firm geopolitical risk premium across energy markets.

According to Reuters, Brent crude futures rose 0.3% to $100.59 a barrel by 03:30 GMT, while US West Texas Intermediate (WTI) crude gained 0.3% to trade at $89.73 per barrel. Fresh attacks on oil tankers near the Strait of Hormuz supported prices by keeping freight, insurance, and marine transit risks elevated.

Countering these gains, the steady resumption of crude exports from Persian Gulf producers helped cap excessive upside. Upward momentum was further checked by the Group of Seven (G7) nations' decision to release 100 million barrels of crude and diesel fuel from strategic petroleum reserves, easing acute supply deficit concerns.

N.Tebrizli