Global oil prices surge, wiping previous losses

WEB DESK: Global oil prices surged by more than 1 per cent on Thursday, almost reversing previous day’s losses, as Middle East tensions came back into focus ahead of the US election despite a confusion surrounding fuel inventories.

Brent crude futures, on fourth trading day of the week, rose 95 cents, or 1.27 per cent to $75.91 at 0302 GMT.

On the other hand, US West Texas Intermediate crude futures rose $1, or 1.41 per cent, to $71.77 as an exchange of heavy fire between Israel and Hezbollah intensified worries over market supply.

To note, oil prices have gained nearly 4 per cent so far this week, helping trim last week’s losses of than 7 per cent on worries about Chinese demand and easing concerns about potential disruptions caused by fighting in the Middle East.

According to experts, the bumpy play in oil prices is a mix of technical reaction to uncertainty ahead.

Amid lack for supporting catalyst and with sore sentiments all over oil markets, oil bulls jumping at any additional headline of escalating conflict in Middle East, seems well justified.

Israel launched strikes on Syrian capital Damascus early on Thursday, Syrian state media said, the latest such attack amid the war in Gaza.

According to Reuters, this followed earlier Israeli strikes on Beirut’s southern suburbs on Wednesday and after Hezbollah said it fired precision guided missiles for the first time at Israeli targets.

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