Oil Rallies on Report Iran Plans to Attack Israel Via Proxies
Oil jumped after a report that Iran may be preparing to attack Israel from Iraqi territory in the coming days, jolting the market’s attention back to a potential flare-up of Middle East hostilities.
Brent surged as much as 2.9% to trade near $75 a barrel on Friday, while West Texas Intermediate rallied above $71. Iran is planning a strike through militias that it backs in Iraq, with the assault expected to be carried out using drones and ballistic missiles, Axios reported, citing two Israeli sources it didn’t identify.
The oil market has a number of key events on the horizon that could impact prices, from the US election and a meeting of China’s top legislative body next week, to a looming decision from OPEC+ to start gradually reviving production from December.
China’s manufacturing activity, meanwhile, unexpectedly picked up in October despite a weeklong holiday, according to a private survey. The reading offered a sign of stabilization after Beijing unleashed stimulus to shore up the economy. In another sign of improved confidence, residential property sales rose last month, the first year-on-year increase of 2024.
Brent for January settlement surged 2.7% to $74.74 a barrel at 9:54 a.m. in London. WTI for December delivery advanced 2.9% to $71.24 a barrel.
Source: Bloomberg
