Global oil prices rose by about one percent on Wednesday, rebounding from a seven-week low reached in the previous session, amid renewed military tensions between the United States and Iran and signs of tightening crude supplies in the United States.
Brent crude futures increased by 83 cents, or 0.9 percent, to US$92.29 per barrel, while U.S. West Texas Intermediate (WTI) crude gained 68 cents, or 0.8 percent, to US$88.97 per barrel.
The price increase followed fresh U.S. military strikes against Iranian targets after U.S. President Donald Trump vowed to respond to the reported downing of a U.S. Apache attack helicopter, marking a new escalation in regional tensions.
The latest developments have raised concerns about the stability of the fragile ceasefire between Washington and Tehran.
Earlier this week, oil prices had fallen after Israel and Iran suspended direct attacks following calls from President Trump to de-escalate tensions.
However, uncertainty remains high as Iran has warned that hostilities could resume if Israel continues military operations against the Hezbollah movement in Lebanon.
Analysts note that Israel’s ongoing campaign against the Iran-backed group has complicated efforts to transform the temporary ceasefire into a broader and more durable regional settlement.
Meanwhile, concerns over energy supplies persist as disruptions continue in the Strait of Hormuz, a key global shipping route that normally carries around one-fifth of the world’s crude oil and liquefied natural gas trade.
On the supply side, market sentiment was further supported by reports showing a significant decline in U.S. crude oil inventories.
According to market sources citing data from the American Petroleum Institute (API), U.S. crude stockpiles fell by 9.12 million barrels during the week ending June 5, marking the eighth consecutive weekly decline.
Gasoline inventories also reportedly decreased by 1.19 million barrels during the same period.
Energy analysts say declining inventories could limit U.S. export capacity and contribute to upward pressure on global oil prices if supply constraints persist.
The latest market movements underscore the continued sensitivity of energy markets to geopolitical developments and supply disruptions in key oil-producing regions.
Source: Reuters
