World oil prices continue to rise sharply. On Friday, October 16, the price of Brent crude reached $110 per barrel for the first time since May, amid concerns about supply cuts and a possible escalation of the conflict in the Middle East. Bloomberg reports, UNN writes.
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During trading, Brent crude rose by 3.7%. The price increase is linked to the tense situation in key oil-producing regions, including attacks by Iran-backed Houthis on Saudi Arabia and strikes on energy infrastructure amid the Russian-Ukrainian war.
The situation surrounding Russian diesel fuel is creating additional uncertainty. American lawmakers introduced a bill that would block Donald Trump's deal with Moscow regarding its supply. Opponents of the agreement fear that it will allow Russia to obtain additional funds to finance the war.
Analysts forecast a further escalation of the situation
According to Bloomberg, oil has risen by more than 70% since the beginning of the year, while European diesel futures have more than doubled.
At the same time, Eurasia Group analysts raised their estimate of the likelihood of an escalation of the conflict in the Persian Gulf from 35% to 65%.
The conflict is likely to escalate. The status quo of the confrontation is no longer sustainable for the United States
Additional concerns were raised by statements from Trump, who did not rule out using the powerful GBU-43/B aerial bomb against Iran after the November 3 elections.