Brent rises as US-Iran tensions heighten fears over oil supply disruptions

Oil prices continued to rise for a second straight session on September 29, as concerns over potential supply disruptions amid tensions between the United States and Iran outweighed signs of a recovery in exports from the Persian Gulf region.

Brent crude futures rose $1.49, or 1.4%, to $106.77 per barrel. West Texas Intermediate (WTI) crude gained $1.34, or 1.5%, to $93.94 per barrel. Both benchmarks had also risen by nearly $1 in the previous session, Reuters reports.

According to Tim Waterer, chief market analyst at KCM Trade, despite the recovery in exports, a significant portion of supplies is being transported through complicated arrangements, including “ship-to-ship transfers.” This is increasing operational and insurance costs and supporting elevated oil prices.

By Jeyhun Aghazada