Global oil prices edged higher in early trading on Wednesday amid fears of fresh supply disruptions, reports infohub.kz.
The rise followed reports that the US has struck Iranian military sites for the 11th straight night, and Kuwait said it intercepted Iranian drones. Brent crude futures for October rose 0.55% (50 cents) to $91.51 a barrel. US West Texas Intermediate (WTI) crude gained 0.36% (30 cents) to $84.64 a barrel. The increase came on relatively thin trading volumes.
A day earlier, oil prices had hit a five-week high after US strikes on targets in southern and western Iran and Iranian attacks on American assets in Bahrain, Kuwait and Jordan. According to US military officials, the latest wave of strikes began late Tuesday US time, which was early Wednesday morning in Iran. Almost simultaneously, Kuwait's army said its air defense systems intercepted Iranian drones.
The ongoing exchange of strikes is heightening market concerns about the stability of global energy supplies. Adding to the tension, Iran-backed Yemeni Houthis have announced plans to attack ships carrying Saudi oil in the Bab el-Mandeb strait and declared a naval blockade of Saudi Arabia. The Bab el-Mandeb strait, at the southern entrance to the Red Sea, is increasingly critical for Saudi oil exports, following a sharp drop in shipments through the Strait of Hormuz after the collapse of the US-Iran truce earlier this month.
Meanwhile, US Defense Secretary Pete Hegseth said the country's military campaign in Iran has so far cost $37.5 billion — nearly $8 billion more than the previous public estimate. Investors also focused on data from the American Petroleum Institute (API), which showed US crude and distillate inventories rose last week while gasoline stocks fell. The market is now awaiting official statistics from the US Energy Information Administration (EIA), which could influence the next move in oil prices.