Oil rates witness increases following higher Middle East tension

(MENAFN) Oil prices increase on Thursday as tensions in the Middle East, home to most of the world’s oil reserves, stoke concerns over potential disruptions to crude supplies.

International benchmark Brent crude climbs 1.26 percent, reaching USD74.83 per barrel by 11:01 a.m. local time (0801 GMT), up from USD73.9 in the previous session.

The U.S. benchmark West Texas Intermediate (WTI) also jumps 1.4 percent, reaching USD71.08 per barrel after closing at USD70.1 in the prior session.

Fighting between Israel and Lebanon is expected to intensify, with the Israeli army announcing "limited, localized" ground raids in southern Lebanon. The military intends to target 24 towns, advising residents to move north of the Litani River, the southernmost point in the region.

Hezbollah claims it has inflicted heavy casualties on Israeli forces during direct clashes in two towns, accusing Israel of concealing its losses. Israel confirms the deaths of eight military personnel, including three officers.

Oil prices surged earlier in the week following an Iranian missile strike on Israel, with around 180 missiles launched. Iran's Islamic Revolutionary Guard Corps (IRGC) said the attack was in retaliation for the killings of Hamas leader Ismail Haniyeh, Hezbollah leader Hassan Nasrallah, and IRGC commander Abbas Nilforoshan.
 

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