Amid escalating tensions in the Middle East, global oil prices have risen. Recently, following attacks on ships in the Red Sea and the Gulf of Oman, international oil prices have increased, reports CNBC.
Brent crude oil futures have risen by 1.24%, reaching $90 per barrel, while the price of American WTI oil contracts has increased by 1.3%, reaching $84.3 per barrel.
Concerns about the safety of global maritime trade routes have intensified after a recent attack on a cargo ship in the Bab el-Mandeb Strait, which resulted in the deaths of six people. U.S. armed forces launched a missile strike on a container ship attempting to breach the U.S. blockade of Iranian ports. These incidents highlight the growing impact of conflict on key maritime routes of global trade.
Senior economist at Interactive Brokers, Jose Torres, noted that concerns about oil supplies remain, despite signs of a possible agreement between the U.S. and Iran regarding the opening of the Strait of Hormuz.
The expert stated that “investors have been waiting for an agreement for several weeks, and at this stage, significant progress will likely be needed for yields to decrease substantially while stocks continue to rise.” He also added that the rise in commodity prices indicates ongoing concerns in the market.
