Oil headed for a weekly gain as tensions in the Middle East escalated further.
West Texas Intermediate rose toward USD87 after notching up advances in each of the previous five sessions, while global benchmark Brent closed above USD90 for the first time since October. Israel increased preparations for potential retaliation after Monday’s strike on an Iranian diplomatic compound in Syria, while US President Joe Biden toughened his stance on Tel Aviv in its war against Hamas.
Crude has surged this year as the conflict in the Middle East and attacks on Russian energy infrastructure by Ukraine boosted risk premiums. OPEC+’s decision to extend existing curbs to the end of June is further contributing to tightness in markets. – Bloomberg
