FX.co ★ WTI Oil Jumps as Israel Strikes Iran

WTI crude oil futures experienced a significant increase of over 6%, reaching $72.70 per barrel on Friday. The surge followed an earlier peak, marking the highest level since February, as concerns about escalating conflict in the Middle East grew after Israel's strike on Iran. While the attacks did not directly impact oil infrastructure, investors remain cautious due to the threat of potential retaliation. This is particularly concerning given Iran's strategic position near the Strait of Hormuz, a crucial route for global oil transportation. In April, Iran's crude production reached 3.305 million barrels per day, highlighting the region's critical influence on the world energy market. Contributing to the positive market sentiment, the International Energy Agency reported a larger-than-expected decline in U.S. crude inventories last week, indicating strong demand. Despite the escalating geopolitical tensions, the IEA assured markets by emphasizing its possession of 1.2 billion barrels of emergency reserves, ready to deploy if necessary.