Washington (Business Emerge) October 10: Oil prices experienced an uptick on Thursday, driven by heightened demand for fuel as Hurricane Milton struck Florida and concerns over potential disruptions in global oil supplies arose due to escalating tensions between Israel and Iran. U.S. West Texas Intermediate (WTI) crude futures rose by 28 cents, or 0.4%, reaching $73.52 a barrel, while Brent crude futures climbed by 24 cents, or 0.3%, to settle at $76.82 a barrel by 0655 GMT.
Investor caution also grew as the standoff between Israel and Iran intensified. Israeli Defense Minister Yoav Gallant warned of a “lethal, precise, and surprising” strike against Iran, raising concerns of regional instability that could impact oil supply routes. The tension between these key geopolitical players continues to loom over the energy market.
Hurricane Milton’s landfall on Florida’s west coast worsened fuel shortages, pushing demand higher. The storm has significantly affected local gasoline consumption, with nearly a quarter of fuel stations running out of supplies. The spike in demand further bolstered oil prices, as the state prepares for potential tornadoes and seawater surges caused by the storm’s strength.
Meanwhile, U.S. President Joe Biden discussed Israel’s approach toward Iran in a recent 30-minute conversation with Israeli Prime Minister Benjamin Netanyahu. Despite Biden’s efforts to dissuade Israel from targeting critical oil infrastructure, concerns remain about Israel’s strategic plans, which could trigger further supply disruptions in the region.