Oil falls 5% after Israel's counterattack on Iran; Brent crude drops to $71.92 per barrel
New York/IBNS: Oil prices fell by about $4 per barrel on Monday (Oct. 28) after Israel's weekend counterstrike on Iran left key oil and nuclear sites untouched, easing concerns over potential disruptions to energy supplies.
By 1445 GMT, Brent crude futures had dropped $4.13, or 5.43%, to $71.92 per barrel, while US WTI crude fell $4.04, or 5.63 percent, to $67.74 per barrel.
Both benchmarks hit their lowest levels since October 1 during the trading session's opening.
Last week, oil prices had surged 4 percent amid market volatility driven by uncertainty over the US election and speculation about Israel’s possible response to Iran’s October 1 missile strike.
Israel conducted three pre-dawn waves of airstrikes on Saturday, targeting missile production facilities and military sites near Tehran and across western Iran.
These strikes marked a sharp escalation in Israeli-Iranian tensions but were more focused on military objectives than initially expected by US officials, reducing fears of attacks on Iran's nuclear or oil infrastructure.
Analysts observed that the risk premium factored into oil prices began to fade following the limited scope of Israel’s retaliatory action.
Citi lowered its Brent crude price forecast for the next three months to $70 per barrel from $74, citing reduced geopolitical risk in the near term, as per a note led by Max Layton.
The Organization of the Petroleum Exporting Countries (OPEC) and its allies left their oil production policy unchanged last month, with plans to increase output in December.
The group is scheduled to reconvene on December 1 for further discussions.
Despite the de-escalation in oil markets, tensions between Israel and Iran remain high.
Iranian Foreign Ministry spokesperson Esmaeil Baghaei warned on Monday that Iran would "use all available tools" in response to Israel’s latest military actions.
IBNS
Senior Staff Reporter at Northeast Herald, covering news from Tripura and Northeast India.
Related Articles
CRR cut, AI ethics push, and SORR benchmark: Experts hail RBI’s pragmatic policy moves
Mumbai: The Reserve Bank of India (RBI) has kept the repo rate unchanged at 6.5% while the cash reserve ratio (CRR) has been slashed by 50 basis points to 4 percent, media reports said.
JP Morgan gives 'overweight' rating to Adani Group bonds
Mumbai: US investment bank JP Morgan has assigned an 'overweight' rating to four bonds issued by the Adani Group, citing the group's capacity to scale and grow through internal cash flows, which reduces the likelihood of credit stress.
LG Electronics files DRPH with SEBI; IPO size expected to be over RS 15,000 cr
Mumbai: South Korean electronics giant LG Electronics has filed a draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) on Friday for the proposed public listing of its Indian business, according to a notification on the Bombay Stock Exchange (BSE).
De-dollarisation not on India's agenda; derisking domestic trade is: RBI Governor Shaktikanta Das
Mumbai: India has not initiated any steps towards de-dollarisation and is solely focused on mitigating risks to domestic trade from geopolitical uncertainties, Reserve Bank of India (RBI) Governor Shaktikanta Das clarified on Friday, media reports said.
Latest News
Singer Selena Gomez marries record producer Benny Blanco in private ceremony
Singer Selena Gomez marries record producer Benny Blanco in private ceremony
G4 nations press for UNSC reforms, Jaishankar attends meeting
G4 nations press for UNSC reforms, Jaishankar attends meeting
