Oil prices rise as the Iran-Israel conflict rages without a visible end. Futures of the future Brent -type crude oil are negotiating at $ 76.86 a barrel with a rise of 4.96%.

While there was no remarkable interruption in oil flows, Iran partly suspended natural gas production in the South Pars field shared with Qatar after an Israeli blow that caused a fire there on Saturday, the Reuters news agency notes. Israel also hit the Shahran oil storage in Iran.

Geopolitical

The ongoing exchange of fire between Israel and Iran reinstated the geopolitical danger to oil markets already aware of the close balance of supply and demand, said Phil Flynn, a senior analyst of Price Futures Group.

“This is not a one-and-done-it is probably much more similar to Russia and Ukraine,” Flynn said.

“The market is greatly concerned about disruption through the strait of the Ormuz, but the risk is very low,” said Saxo Bank Ole Hansen analyst.

There is currently no scenario for the closure of the floating road, as Iran would lose revenue and the US wants lower oil prices and lower inflation, Hansen added.

Despite the possibility of disorder, there is evidence that oil supplies remain abundant amid expectations for lower demand.

In the monthly oil report on Tuesday, the International Energy Organization revised down his estimation of global oil demand by 20,000 barrels a day since last month’s forecast and increased the 200,000 barrels per day to bid to 1.8 million.