Brent futures resumed their rise during trading, recording modest gains that allowed them to breach the $117 per barrel threshold, during a session marked by volatility, against a backdrop of persistent geopolitical tensions and concerns about global supply.
Oil markets remain in an expectant stance regarding developments that could affect crude flows and the balance between supply and demand, as the geopolitical risk premium continues to weigh on price formation.
Oil prices are particularly sensitive to the reliability and security of global supplies. Markets thus react to anticipated risks, even before they translate into an actual shortage of supply.
In this context, attacks targeting oil majors heighten operators’ concerns about delivery regularity and the capacity of markets to meet global demand.
The continuation of attacks and delivery delays could contribute to keeping oil prices at elevated levels, while international markets remain vigilant for any development likely to disrupt supply flows.
