Brent rises as report outlines possible US-Israeli campaign against Iran

Brent crude rose 2.68 per cent to $111.74 a barrel amid a report that US and Israeli commanders have planned a possible new campaign against Iran after the US midterm elections. The reported plans matter politically because higher oil and petrol prices are adding to pressure on household budgets just 12 days before the vote, when Republicans risk losing control of Congress.

The New York Times reported that the proposed operation could target Iranian nuclear sites, energy infrastructure and missile and drone capabilities. Trump has reportedly considered using the 22,000-pound “Mother of All Bombs” against the deeply buried Pickaxe Mountain site; however, no attack is certain, and the full US force is not expected to be in place until early November. Iran has threatened wider retaliation, while the article notes that petrol takes a smaller share of Americans’ disposable income than it did a decade ago.