Oil prices fall amid fears of escalating conflict in Middle East

Oil prices fell slightly on Thursday after a 2% rise the day before amid a new wave of fears of escalating conflict in the Middle East and a reduction in oil supplies from the region, reported from Interfax.

The cost of December futures for Brent oil on the London ICE Futures exchange amounted to $89.88 per barrel - $0.25 (0.28%) lower than the previous session's close.

WTI oil futures for December in e-trading on the New York Mercantile Exchange (NYMEX) fell in price by $0.16 (0.19%) to $85.23 per barrel.

Israeli Prime Minister Benjamin Netanyahu said on Wednesday that the country would not abandon the plan to start a ground operation in the Gaza Strip. Traders' main concern in this regard is the possibility of the conflict widening in the region, which accounts for about a third of global oil production. In this case, the United States may take measures to further restrict Iranian oil exports.

Data from the US Department of Energy released on Wednesday showed an increase in oil and gasoline inventories in the country. Commercial oil reserves in the country for the week ending October 20 increased by 1.37 million barrels to 421.12 million barrels. Inventories at the Cushing terminal, where oil traded on the NYMEX is stored, increased by 213,000 barrels. Gasoline inventories in the United States increased by 156,000 barrels, distillates decreased by 1.69 million barrels.

www.anews.az