FX.co ★ Oil Set for Weekly Gain on Israel-Iran Escalation

WTI crude oil futures dipped to around $74 per barrel on Friday, although they remain on track for a third consecutive weekly increase. This uptick is largely due to mounting tensions in the Middle East, heightening concerns over potential disruptions in regional oil supplies. The situation has intensified as Israel continues to engage in military exchanges with Iran, further exacerbated by Israel's directive to increase attacks on key strategic and governmental sites in Tehran. This escalation stems from reports of an Iranian missile strike on a significant hospital in Israel. Concurrently, attention is focused on the White House, where President Donald Trump is deliberating on initiating direct military actions against Iran, with a decision anticipated in the next two weeks. In spite of these risks, Iran is reportedly maintaining its crude oil exports, currently loading 2.2 million barrels per day, marking the highest figure in five weeks. Additionally, oil prices received a boost from a larger-than-expected decrease in U.S. crude inventories earlier this week, as government data revealed the most significant weekly drawdown in a year.