Oil prices continue to rise: Iran reportedly plans retaliatory strike on Israel

In the early phase of Asian trading on Friday, oil prices recorded gains again. This development follows reports that Iran is planning a retaliatory strike against Israel from Iraqi territory. West Texas Intermediate crude oil futures from the U.S. rose by $1.24, equivalent to 1.8 percent, to $70.50 per barrel. The previous day had already seen an increase of 0.95 percent. While trading for the Brent crude January contract has not yet begun, the December contract, which expired on Thursday, closed 0.85 percent higher at $73.17. According to an Axios report citing two unnamed Israeli sources, Israeli intelligence suggests that Iran is planning an attack in the coming days, possibly before the U.S. presidential election on November 5. The attack is expected to be launched from Iraqi soil using a variety of drones and ballistic missiles. The report explains that Iran may be using pro-Iranian militias in Iraq to avoid a direct Israeli attack on strategic targets in Iran. The rising oil prices are also supported by speculation that OPEC+ might postpone the originally planned increase in oil production for December by a month or more. The reason for this is concerns about weak oil demand and increasing supply, according to four sources familiar with the matter who spoke to Reuters.