On Monday, oil prices recovered following a dramatic loss last week, as traders focused on more signals on demand and possible supply disturbances in the Middle East.
In the Asian afternoon session, Brent futures for December contacts increased by 0.57% to $73.48 per barrel. West Texas Intermediate for December delivery rose by 0.73% to $69.19 a barrel.
Meanwhile, crude prices declined by about 7.00% last week following upsetting cues on more stimulus from China. Concerns over Beijing also saw the Organization of Petroleum Exporting Countries (OPEC) and the International Energy Agency (IEA) cut their demand outlooks.
In addition, oil costs were also struck by the projection of less severe escalation in the Mideast dispute, as reports revealed Israel would not hit Iran’s oil or nuclear plants.
However, Jerusalem is still getting ready to retaliate for an early-October attack, whose hostilities with Hamas and Hezbollah continued.
Meanwhile, oil prices were at their worst week since September amid worries about sluggish demand in China, which weighed on sentiments.
According to reports, Beijing revealed its most targeted stimulus measures last month. Nevertheless, measures inspired average confidence among traders, as China did not produce information on the scale and timing of the planned measures.
Israel Plans to Attack Iran, Oil Climbs
According to sources, Israeli Prime Minister Benjamin Netanyahu has been holding meetings with top deputies to talk about the next strike on Iran.
The US has advised Jerusalem against striking energy targets on Iran, but Natenyahu’s office has noted that the country will make its own decisions.
On the other hand, Israel revealed that it was aiming to attack plants in Beirut with links to Hezbollah finances.
In addition, the Israel-Hamas dispute, which marked its anniversary in early October, has steered oil prices. Traders now attach or remove a risk premium to crude costs based on the condition of the war.