Brent crude oil prices rose significantly on Thursday, continuing the upward trend from the previous day. After initial declines in early trading, prices saw a strong recovery. A barrel of Brent crude oil, for delivery in November, was trading at $105.41, a more than 2% increase from the previous Wednesday's price.
Geopolitical tensions between the US and Iran over shipping routes in the Gulf of Hormuz appear to be a key factor driving the price increase. Market observers noted that the US and Iran remain far apart in key issues regarding the restoration of ship transport through the critical oil shipping route. The uncertainty surrounding potential diplomatic progress has contributed to the upward movement in oil prices.
The geopolitical situation in the Middle East could further escalate and spread to other regions, according to statements from the Islamic Revolutionary Guard Corps, which were reported by the Iranian news agency Fars. These statements dampened optimism regarding meetings between Iranian and US representatives at the UN General Assembly this week. Iran has repeatedly warned of escalating retaliatory measures against the US if another attack occurs.
