Solid Gold Berjangka – Oil prices rose during Asian trading on Friday (Nov 6) amid growing concerns over supply disruptions in the Middle East. Brent crude traded at around US$98.84 per barrel, while West Texas Intermediate (WTI) hovered near US$91.62 per barrel.
The price increase was triggered by a series of incidents involving oil tankers in the Middle East. At least five vessels have reportedly been involved in incidents since Sunday, while attacks near the Strait of Hormuz have once again heightened risks to a critical global energy distribution route.
Iran’s Revolutionary Guard Corps stated that two oil tankers and one tugboat caught fire after traversing unauthorized routes. Meanwhile, Saudi Arabia issued a warning regarding potential dangers near Yanbu, a key oil export hub on the Red Sea.
Despite the gains, oil prices remain on track for a sharp weekly decline. Brent is set to fall by more than 15% for the week, while WTI is down approximately 12%, following the outcome of the U.S. midterm elections, which had previously raised hopes for a diplomatic resolution to conflicts.
Beyond the Middle East, supply concerns have also emerged from Russia, following renewed Ukrainian attacks on oil refinery facilities. With geopolitical risks remaining elevated and diplomatic efforts yet to provide any certainty, oil price volatility is expected to stay high in the near term. (srh)