Oil rises as investors weigh uncertainties around Iran war

Brent crude rose modestly as investors assessed how the US midterm election results might affect President Donald Trump’s approach to the war with Iran. The conflict and higher fuel costs were major grievances for voters, while uncertainty over whether the war will end or intensify is keeping oil markets unsettled.

At 0900 GMT, Brent was up 78 cents, or 0.8 per cent, to $95.40 a barrel, and US West Texas Intermediate gained 11 cents, or 0.1 per cent, to $88.23; both had fallen by more than 8 per cent the day before. Eurasia Group put the chance of renewed US strikes at 60 per cent and a deal at 10 per cent, and said escalation could push Brent to $110-$125. Gulf shipments through the Strait of Hormuz have recovered close to pre-war levels, but inventories in major consuming countries are near a 15-year low.