Oil dips as supply fallout from Israel war seen contained so far
BNN Bloomberg
Oil dipped after an early-week surge as the impact on crude flows from the Israel-Hamas war remained contained and Saudi Arabia pledged to help ensure market stability.
West Texas Intermediate nudged below US$86 a barrel, after the kingdom on Tuesday reiterated support for efforts by OPEC+ to balance oil markets and for “everything” that enhances global economic growth. A war-risk premium returned to the market on Monday following Hamas' attack on Israel over the weekend, sparking concerns that the conflict will lead to wider instability in the Middle East.
Oil traders have been watching carefully for spillover from the conflict that could endanger crude flows. The war adds another complicated dimension to global crude trading after prices surged in the third quarter as OPEC+ choked off supplies to tighten the market, then gave up some gains as demand concerns flared up.
