Oil Prices Rise as Middle East Hostilities Intensify
Brent and WTI crude futures rose more than 2% on Wednesday following Iranian missile strikes and stalling diplomatic talks. Market sentiment was further bolstered by IEA warnings of low global inventories and API data showing a 6.8 million barrel decline in U.S. crude stocks.
Brent Crude Oil rose 2.6% to $98.49 and West Texas Intermediate climbed 2.7% to $96.27 on Wednesday as Middle East hostilities intensified. Prices for both benchmarks reached their highest levels since late May following missile strikes and stalled diplomatic negotiations. Tightening global inventories and escalating regional conflict are driving a higher risk premium for energy investors.
### Middle East Conflict Drives Price Spike Iran launched ballistic missiles toward Kuwait and Bahrain on Wednesday, according to Kuwaiti authorities. In response, United States forces conducted strikes on Qeshm Island. The escalation comes as negotiations between Tehran and Washington show little progress.
