Oil slips nearly $4 a barrel after Israel shows restraint in strikes on Iran

By Florence Tan

SINGAPORE (Reuters) – Oil prices tumbled nearly $4 a barrel on Monday after Israel’s retaliatory strike on Iran over the weekend bypassed Tehran’s oil and nuclear infrastructure and did not disrupt energy supplies, easing geopolitical tensions in the Middle East.

Brent crude futures slumped $3.89, or 5.1%, to $72.16 a barrel by 2310 GMT, while U.S. West Texas Intermediate crude was at $68.02 a barrel, down $3.76, or 5.2%.

Both contracts gained 4% last week in volatile trade as markets priced in uncertainty around the extent of Israel’s response to the Iranian missile attack on Oct. 1 and the U.S. election next month.

Scores of Israeli jets completed three waves of strikes before dawn on Saturday against missile factories and other sites near Tehran and in western Iran, in the latest exchange in the escalating conflict between the Middle Eastern rivals.

The geopolitical risk premium that had built in oil prices in anticipation of Israel’s retaliatory attack came off, analysts said.

The more limited nature of the strikes, including avoiding oil infrastructure, has raised hopes for a de-escalatory pathway, Saul Kavonic, an energy analyst at MST Marquee, said.

This post is originally published on INVESTING.

  • Related Posts

    Oil falls after Trump reverses Colombia sanctions threat

    By Anna Hirtenstein LONDON (Reuters) -Oil prices wavered on Monday after the U.S. and Colombia reached a deal on deportations, reducing immediate concern over oil supply disruptions but keeping traders…

    Dollar gains on tariffs fears; euro looks to ECB meeting

    Investing.com – The US dollar slipped lower Monday, rebounding after recent losses as attention returned to the potential for trade tariffs from the Trump administration at the start of a…

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    You Missed

    Weekly Overview: MT4/MT5 Disruption in China, IG Group to exit South Africa, and More

    • May 31, 2025
    Weekly Overview: MT4/MT5 Disruption in China, IG Group to exit South Africa, and More

    Brokerage Firm OneRoyal Opens Oman Office in MENA Growth Push

    • May 30, 2025
    Brokerage Firm OneRoyal Opens Oman Office in MENA Growth Push

    What Is Causing the Global Silver Shortage in 2025?

    • May 30, 2025
    What Is Causing the Global Silver Shortage in 2025?

    Hyperinflation in 2025: What Currencies Are at Risk?

    • May 30, 2025
    Hyperinflation in 2025: What Currencies Are at Risk?