Oil prices continue to rise due to a combination of natural events in the US and geopolitical risks in the Middle East. On Thursday, the market reacted to a significant increase in fuel demand due to a powerful storm raging in the United States, as well as fears of oil supply disruptions due to the escalation of the conflict between Israel and Iran.
As informs Reuters agency, the price of Brent oil futures increased by 63 cents (0.8%) and reached $77.21 per barrel. Meanwhile, US West Texas Intermediate (WTI) crude futures rose 0.9%, or 63 cents, to $73.87 a barrel as of Thursday morning.
The situation in the United States worsened due to Hurricane Milton, which has already become the second powerful storm to hit the west coast of Florida in recent times. The storm produced tornadoes and severe sea waves, leading to a significant increase in fuel demand in the region. As a result, approximately 25% of gas stations in the state were left without gasoline, which only pushed oil prices higher.
In addition to weather disasters, the market also reacts to geopolitical risks. Investors are seriously worried about the escalation of the conflict between Israel and Iran after Israeli Defense Minister Yoav Galant’s announcement of a possible strike on Iran, which he said would be “deadly, precise and unexpected.” Such a threat creates additional pressure on the oil market, as supply disruptions from this region could have significant consequences for global prices.
