Oil price today: Brent crude extends gains past $113 on Middle East escalation concerns post midterms – Markets


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Oil price today: Brent crude extends gains past $113 on Middle East escalation worries post midterms (Image source: Canva/ET Now)

Oil price today: Crude oil prices extended gains on Friday after rising 4 per cent to a five-month high in the previous session amid growing concerns over an escalation of the Middle East war after the November 3 midterm elections.

Brent crude futures jumped 0.36 per cent to USD 113.58 a barrel, while US West Texas Intermediate crude was at USD 99.80 a barrel, up 0.33 per cent. The global benchmark was up around 3 per cent this week.

Saudi Aramco on Thursday ordered the evacuation of its headquarters in Dhahran on the Gulf near Bahrain, Reuters reported, as fighting intensified between the world’s largest crude exporter and Yemen-based Houthis.

Houthi conflict intensifies

Clashes between the Houthis and a Saudi-led coalition that backs Yemen’s internationally recognised government have raged since the Iran-aligned Houthis pushed towards Bab el-Mandeb, a shipping chokepoint at the mouth of ‌the ⁠Red Sea, the Reuters report said.

In Libya, an oil pipeline valve from the Hamada and Tahara oilfields to Zawiya port has been shut, leading to a reduction in production at both fields, the head of the National Oil Corporation told Reuters on Thursday.

Russia ready to resume US-mediated talks with Ukraine next month

Separately, Russia said on Wednesday ⁠it was ready to resume US-mediated talks with Ukraine next month, after President Vladimir Putin hosted US envoy Steve Witkoff for talks in St Petersburg, the Reuters report added.

Ukrainian President Volodymyr Zelenskiy said he ⁠hoped negotiations, which would be the first since February, will take place early in November.

On ‌Wednesday, Iran’s ⁠Foreign Minister Abbas Araqchi told the Financial Times that Iran was fully prepared to defend itself and President Masoud Pezeshkian told state media the US could not expect dialogue while blockading and threatening Iran.

At least 18 vessel attacks were recorded over the past two weeks, Kpler data showed, while LSEG analysts warned that Iran was targeting tankers well beyond the Strait of Hormuz, reaching into the Gulf of Oman and jeopardising Gulf crude loadings and ship-to-ship transfers supporting regional loadings.

US crude stocks fell by 3.06 million barrels to 412.5 million barrels last week, the US Energy Information Administration said on Wednesday, compared with analysts’ expectations in a Reuters poll for an 820,000-barrel draw.

Distillate stockpiles, which include diesel and heating oil, ⁠rose 1.68 million barrels in the week to 104.3 million barrels, versus expectations for a 1.16 million-barrel drop, EIA data showed.



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