HOUSTON: Oil prices rose on Thursday with all eyes on key producing countries in the Middle East and mounting concerns that a widening regional conflict could pose a threat to global crude flows.

Brent crude futures were up $3.59, or 4.86 per cent, at $77.49 a barrel by 1:08 p.m. EDT. US West Texas Intermediate crude futures rose $3.58, or 5.11pc, to $73.68.

Meanwhile, US gasoline futures gained more than 5pc during the session.

Brent futures reached an intraday high of $77.65 per barrel, the strongest since Aug. 30, while WTI futures peaked at $73.95 per barrel, a one-month high.

Market fears are mounting over the possibility that Israel might target Iranian oil infrastructure, raising the spectre of retaliation from Iran.

“This is going to really test the mettle of the market because up until now the risk to supply has been downplayed, as there has been no disruption, so this could be a game changer,” said Phil Flynn, senior analyst for Price Futures Group.

Published in Dawn, October 4th, 2024