Middle East Tensions Drive Crude Prices Above $100

By mid-morning, the December West Texas Intermediate contract climbed $2.81 to trade at $102.28 per barrel, pushing U.S. crude back over the psychological $100 threshold. Brent crude followed a similar trajectory, with the December contract rising $3.03 to reach $116.20 per barrel. Refined products also saw upward movement, as RBOB futures for November rose 1.4% to $3.2180 per gallon, while ULSD contracts posted more modest gains of under 0.5%.

Despite the price surge, some analysts suggest the physical market maintains a degree of resilience. Zaheer Anwari, founder of The Revacy Fund, noted that Gulf oil exports have recovered significantly in recent weeks and emergency stock releases have provided a buffer against immediate supply shocks. However, he cautioned that these factors do not eliminate systemic risk. With shipping routes disrupted, insurance costs elevated, and the constant threat of infrastructure strikes, the market remains highly susceptible to further volatility.