Bank AI

Proxy

Clash

Rise

<div class="textg" style="text-align: justify; font-weight: lighter; line-height: 1.3em; font-size: 15px; border-radius: 3px; color: #80909a; padding: 10px; background-color: #F4F6F9; margin-bottom: 15px;">
 Neither the author, Tim Fries, nor this website, The Tokenist, provide financial advice. Please consult our&nbsp;<a href="https://tokenist.com/terms-of-service/" style="text-decoration:underline;color:#3c7b7b" target="_blank" rel="noopener noreferrer nofollow" class="deco-link">website policy</a>&nbsp;prior to making financial decisions.
</div>
<p class="has-drop-cap">The escalating tensions between Israel and Hamas triggered an immediate surge in crude oil prices, with Brent crude hitting nearly $88 per barrel on Monday. Analysts believe the ongoing conflict is not likely to pose an imminent threat to the oil supply. However, a potential involvement of Iran and the US could lead to a proxy war and propel oil prices to new heights.&nbsp;&nbsp;&nbsp;</p>
<h3 id="oil-prices-rebound-amid-potential-supply-disruptions">Oil Prices Rebound Amid Potential Supply Disruptions</h3>
<p>Crude oil prices soared roughly 4% higher on Sunday as the clash between Israel and Hamas escalated, sparking potential concerns over oil production and transportation in the Middle East.</p>
<p>The global standard Brent crude rose 3.97% to $87.94 a barrel, while the West Texas Intermediate (WTI) climbed 4.13% to $86.21. Despite the surge, prices are still below levels of over $90 a barrel reached last week.</p>
<p>Oil prices have decreased this month, losing around $10 per barrel before Hamas attacked Israel. The Federal Reserve’s ‘higher for longer’ interest rates message and slowing growth weighed on the oil demand outlook, offsetting the previous rally that <a href="https://tokenist.com/crude-oil-likely-to-hit-100-a-barrel-amid-supply-constraints/" rel="noopener noreferrer nofollow" class="deco-link">drove crude oil prices to $100 per barrel</a>.&nbsp;</p>
<p>However, the latest escalation in the Middle East will likely lead to volatility in the oil market as investors focus on possible supply disruptions.&nbsp;</p>
<div class="cta-referral"><img src="https://tokenist.com/wp-content/themes/thetokenist/assets/img/del/cta-referral-1.png" alt="" class="cta-referral__img" loading="lazy" decoding="async">
 <div class="cta-referral__text">
  <p>Join our&nbsp;<a href="https://t.me/thetokenist" target="_blank" rel="noopener noreferrer nofollow">Telegram group</a>&nbsp;and never miss a breaking digital asset story.</p>
 </div>
</div>
<h3 id="hamas-israel-clash-unlikely-to-disrupt-oil-flows-but-a-potential-proxy-war-could">Hamas-Israel Clash Unlikely to Disrupt Oil Flows, But a Potential Proxy War Could</h3>
<p>The recent attacks are unlikely to put oil flows at immediate risk, given that neither Palestine nor Israel are major players in that industry. Nevertheless, there’s a chance that the conflict could result in a catastrophic proxy war and involve more countries, such as the US and Iran, both of which are key oil market drivers.</p>
<blockquote class="wp-block-quote">
 <p>“How Saudi Arabia, Iran, and the U.S. get drawn into this will be key. Geopolitical risk doesn’t tend to linger long in markets but there are many second order impacts that could come through in the weeks, months and years ahead from this weekend’s developments.”</p> <cite>– Deutsche Bank analyst <a href="https://www.barrons.com/articles/oil-prices-israel-hamas-3929136d" target="_blank" aria-label="Jim Reid said (opens in a new tab)" rel="noopener noreferrer nofollow" class="deco-link">Jim Reid said</a> on Monday.&nbsp;</cite>
</blockquote>
<p>Tehran is <a aria-label="being blamed by US officials (opens in a new tab)" href="https://www.nbcnews.com/news/hamas-attack-bears-hallmarks-iranian-involvement-former-us-officials-s-rcna119400" target="_blank" rel="noopener noreferrer nofollow" class="deco-link">being blamed by US officials</a> that it is involved in the Hamas attacks, and any retaliation against Iran could lead to the closure of the Strait of Hormuz – the only sea passage from the Persian Gulf to the open ocean. Iran previously threatened to close the strait.&nbsp;</p>
<p>Additionally, if the reported Iran involvement in the war triggers a response from Israel or the US, a sharp surge in crude oil prices would be likely on the perceived risk of disruption.&nbsp;</p>
<div class="cta-sub js__cta-sub">
 <div class="cta-sub__start" data-step="1">
  <div class="cta-sub__title"><strong>Finance is changing.</strong>
  </div>
  <div class="cta-sub__subtitle">
   Learn how, with Five Minute Finance.
  </div>
  <div class="cta-sub__excerpt">
   A weekly newsletter that covers the big trends in FinTech and Decentralized Finance.
  </div> <button type="button" class="btn">Try it out (for free)</button>
 </div>
 <div class="cta-sub__form" data-step="2" style="display: none;">
  <script type="text/javascript" src="https://app.getresponse.com/view_webform_v2.js?u=QcLhh&amp;webforms_id=zw3Wv"></script>
 </div>
 <div class="cta-sub__result" data-step="3" style="display: none;">
  <div class="cta-sub__title">
   Awesome
  </div>
  <div class="cta-sub__caption">
   You’ve subscribed.
  </div>
  <div class="cta-sub__greeting">
   You’re well on your way to being in the know.
  </div>
 </div>
</div>
<p><em><strong>Do you think the US will get involved in the ongoing clash in the Middle East? Let us know in the comments below.&nbsp;</strong></em></p>
<p>The post <a rel="noopener noreferrer nofollow" href="https://tokenist.com/crude-oil-at-85-8-after-hamas-attack-can-rise-more-if-conflict-spirals/">Crude Oil at $85.8 After Hamas Attack, Can Rise More if Conflict Spirals</a> appeared first on <a rel="noopener noreferrer nofollow" href="https://tokenist.com">Tokenist</a>.</p>

Crude Oil at $85.8 After Hamas Attack, Can Rise More if Conflict Spirals

Table of Contents

Tokenist

Other articles published on Oct 9, 2023

Bitcoin Price Analysis: Negative Technical Sentiment Expanding – 10 October 2023

Islamic Coin just hours away from listing on KuCoin

Microsoft AI Reveals Its Top Crypto Picks: Theta Network (THETA), Everlodge (ELDG), The Sandbox (...

Crypto Analyst Warns Chainlink (LINK) Inflation Could Hold Back Altcoin’s Price Next Bull Run

Bitstamp executives says exchange to partner with three ‘household name banks’ in Europe

Shibarium Marks Milestone: 1.253M Unique Addresses in Just 40 Days

Join our free newsletter for daily crypto updates!