Daily Times

Oil futures edged up slightly last week as fears about the Red Sea supply disruptions continue to rise on mounting tension in the Middle East. Major global benchmark Brent ended the week higher by 0.34 percent. Brent, the international benchmark for two-thirds of the world’s oil, rose to $78.56 a barrel from $78.29 a barrel during the week under review, showing an increase of $0.27 on a week-on-week (WoW) basis. Other global benchmark West Texas Intermediate (WTI), the main oil benchmark for North America, also closed the week higher to $73.41 from $72.68 a barrel, registering a weekly increase of $0.73 (+1 percent). Both benchmarks registered minor losses in the preceding week. Brent ended last week lower by 0.60 percent, falling to $78.29 a barrel from $78.76 a barrel on a week-on-week, while WTI closed last week down to $72.68 from $73.81 a barrel, registering a weekly decline of 1.53 percent. Both benchmarks shed more than 10 percent in 2023 on a year-on-year basis. Geopolitical tension in the Middle East is continuing to rise amid the Israel-Gaza conflict, stoking fears that it could engulf the entire region and disrupt oil supplies from the Middle East. Yemen’s Houthi militants, who say they are acting in solidarity with Palestinians, intensified attacks on ships passing through the Red Sea, a key waterway connecting Asia and Europe.