Crude oil prices rose on Wednesday after reports that US intelligence agencies indicated that Israel was planning a strike on Iranian nuclear facilities, which would lead to an escalation of geopolitical tensions and fuel fears of regional conflict.
At 10.00:1,14 a.m. Cyprus time, the price of Brent crude oil was up 66,12%, to $1,24 per barrel, while US crude was up 62,80%, to $XNUMX per barrel.
While safe-haven gold rose nearly 2%, the CNN news appeared to have little negative impact on Asian stock markets in morning trading, with most continuing the previous day's rally.
Investors are monitoring China-US relations after Beijing attacked Washington's "bullying" over chip export controls.
Both major crude oil futures rose nearly 2% after CNN reported that multiple US officials said the US government has intelligence that Israel was preparing to target Iranian nuclear facilities.
There are fears that such a sharp escalation of tension could lead the Middle East to war, with tensions already high due to Israel's attacks on Gaza.
Crude oil prices have risen by about 15% since the beginning of the month, as concerns about the outlook for global economies ease, while tariff tensions become relatively milder.
“This is the clearest sign yet of how high the stakes are in the U.S.-Iran nuclear talks and where Israel could go if Iran insists on maintaining its commercial nuclear capabilities,” said Robert Rennie, chief economist at Westpac Banking Corp.
Source: KYPE
