On Thursday, oil prices fell on a rise in the dollar and a climb in U.S. crude stockpiles, as the Middle East conflict continues to unfold.
WTI Crude price is down by 0.71% and Brent Crude 0.57% at the time of writing.
The dollar index experienced a slight increase on Thursday, contributing to the downward pressure on oil prices.
Oil prices also retreated as the Wall Street Journal reported Israel’s decision to postpone an anticipated Gaza invasion.
Ongoing macroeconomic worries continue to affect the outlook for oil demand, particularly as eurozone business activity unexpectedly declined this month.
According to the Energy Information Administration, U.S. crude inventories rose by 1.4 million barrels in the most recent week, reaching 421.1 million barrels.
Susannah Streeter, head of money and markets at Hargreaves Lansdown commented on the trend: “Nerves are still on edge about the potential for conflict in the Middle East to widen. “, she said.
“There has been no let-up in the bombing of the Gaza strip as Israel prepares for a ground invasion, and a lack of agreement on a pause in fighting for more aid to get through. Brent crude prices are hovering around $90 a barrel as concerns continue that supply could be disrupted across the oil-rich region if other countries are drawn into the conflict.”