Oil Rebounds as Hormuz Attacks Cloud Iran Truce Hopes
Brent and WTI rose after a two-month low, while shipping attacks and risks to transit through the Strait of Hormuz persisted.
Key takeaways
- Brent rose to $92.20 a barrel and WTI to $86.53 by 0119 GMT.
- Thirty-seven ships were attacked in and around the Strait of Hormuz in October, according to the Washington Institute.
Oil prices rose on Wednesday after hitting two-month lows in the previous session, as hopes for de-escalation in the Iran war competed with concerns about attacks on shipping. Brent futures gained 71 cents to $92.20 a barrel, while US West Texas Intermediate crude rose 49 cents to $86.53 by 0119 GMT.
The Washington Institute for Near East Policy reported 37 ship attacks in the Strait of Hormuz and nearby waterways in October, the highest monthly total since the war began. Ten attacks have been recorded so far in November.
LSEG analysts said a deal would not necessarily bring more traffic through the waterway quickly, citing mine clearance, insurance costs and shipowners’ willingness to take risks. US crude inventories also rose by 9 million barrels in the week ended November 6, according to market sources citing American Petroleum Institute data.
This article was produced with the help of AI technology. Based on reporting by the outlets listed above.
