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Oil prices surged to their highest levels since May, with Brent crude surpassing $107 per barrel and West Texas Intermediate increasing to over $102. This comes amid heightened attacks on shipping vessels and escalating tensions with Iran, amidst rising geopolitical risks and supply disruptions. An analysis suggests that if the crisis with Iran persists and China's strong demand for oil continues, prices could rise further. Meanwhile, OPEC has lowered its global demand outlook to 380,000 barrels per day for 2026. The decline in U.S. inventories has supported the price increase, amid ongoing tensions in the region.
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