Oil prices rose on Thursday amid growing expectations of further escalation of the conflict in the Middle East. Traders were assessing a report by the Iranian agency Fars that the military adviser to Iran's Supreme Leader, Yahya Rahim Safavi, who is also a senior representative of the Islamic Revolutionary Guard Corps (IRGC), allowed for the expansion of hostilities to the Indian Ocean in the event of new strikes by the US or Israel.
As of 13:30 Moscow time, November Brent futures on the London ICE Futures exchange were at $104.78 per barrel, up $1.7, or 1.65%, from the previous close. November WTI crude futures on electronic trading at the New York Mercantile Exchange (NYMEX) had risen by $1.14, or 1.24%, to $93.3 per barrel by that time.
Earlier in the session, Brent rose to $106.5 per barrel, and WTI — to $94.69 per barrel. The Fars report reduced traders' expectations regarding a possible move by the US and Iran toward resolving the conflict.
The day before, Iranian President Masoud Pezeshkian, speaking at the UN General Assembly, said that his country was ready for dialogue with the US on disputed issues, but did not intend to tolerate attempts at pressure by force. He also warned that Iran would not allow free passage of ships through the Strait of Hormuz while US sanctions and the blockade of Iranian ports remain in place.
In addition to Middle Eastern risks, the market is watching for a possible restriction on diesel exports from the US. Earlier, US President Donald Trump said he had instructed his administration to consider banning or limiting diesel exports, and a corresponding decision would be made in the near future. Against this backdrop, diesel prices in Europe on Thursday remained near record highs.
Sources
