Oil prices rose after sliding in the previous session as markets weighed Middle East tensions against demand worries and rising OPEC supply, Reuters reports.

Geopolitical tensions in the Middle East and an ongoing supply outage in Libya offered support to prices, analysts said.

Some major shipping firms are still avoiding the Red Sea. Germany’s Hapag-Lloyd will continue to divert vessels around the Cape of Good Hope in the wake of maritime attacks by Yemeni Houthi, it said.

Regarding the Gaza crisis, the Israeli military has said its fight against Hamas will continue through 2024, worrying markets that the conflict could grow into a regional crisis that could disrupt Middle Eastern oil supplies.