Crude oil prices surged by 4% following attacks between Saudi Arabia and Iran-backed militia in the Middle East. Brent crude is now near $88 per barrel.
Renewed tensions in the Middle East have once again ignited crude oil prices. On Wednesday, a three-day decline came to a halt, with prices seeing a jump of over 4%. The primary reason behind this surge is the attacks between Saudi Arabia and Iran-backed militia.
According to reports, Iran-backed militia in Iraq targeted Saudi Arabian oil facilities with a drone attack.
In response to this attack, Saudi Arabia, along with the US Central Command, launched retaliatory strikes on the militia's positions. These attacks have heightened concerns about global oil supply, directly impacting prices.
Around 8:40 AM on Wednesday, Brent crude was trading at $87.57 per barrel, up by $3.4 or 4.1%.
In the previous three trading sessions, it had registered a decline of more than 14%. Meanwhile, US crude WTI also rose by $3.3 or 4.1% to reach $82.56 per barrel.
Despite the volatility in the international crude oil market, there is currently no visible impact on the retail prices of petrol and diesel in India.
Oil Marketing Companies have kept fuel prices stable. The last price revision was on May 25, when petrol and diesel became more expensive by ₹2.61 and ₹2.71 per liter, respectively.
Meanwhile, Iran has rejected Oman's proposal for equal control over the Strait of Hormuz. Iran's Deputy Foreign Minister Kazem Gharibabadi clarified that Iran will maintain full control over the shipping lanes.
On the other hand, in Washington, US President Donald Trump met with Israeli Prime Minister Benjamin Netanyahu. The meeting aimed to avert another military attack on Iran. Israel has also indicated that all parties seek a solution through dialogue.
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