Brent crude futures has retreated but holds near $114 a barrel following fresh hostilities in the Middle East, according to Reuters.

Brent crude futures eased 93 cents, or 0.8 per cent, to $113.51 per barrel at 0719 GMT after settling up 5.8pc a day ago. US West Texas Intermediate (WTI) crude falls $2.16, or 2pc, to $104.26, after gaining 4.4pc in the previous session.

“Prices continue to trade in a highly volatile range, driven largely by ongoing tensions in the Strait of Hormuz,” said Phillip Nova’s senior market analyst Priyanka Sachdeva.

“While prices have eased slightly in recent sessions, this is not due to any real improvement in fundamentals, but rather a temporary relief after the US launched ‘Project Freedom’,” she added.