Brent crude and WTI prices were rising on Wednesday after an exchange of fire between American and Iranian forces.
An exchange of attacks between the U.S. and Iran could complicate negotiations and put at risk the reopening the Strait of Hormuz, a critical oil waterway.
Oil prices edged higher as investors weighed uncertainty over U.S.-Iran talks. U.S. Central Command said Tuesday that it had defeated multiple Iranian ballistic missiles.
Oil prices climbed more than 1% in early trade on Wednesday as hostilities in the Middle East erupted anew with Iran firing missiles at Kuwait and Bahrain, while diplomatic talks between Iran and the United States showed little progress.
Oil prices gained amid signs that U.S.-Iran peace talks may struggle to remain on track.
Goldman Sachs CEO David Solomon expects consumer behavior to change in the second half of 2026 if inflation picks up, fueled by higher oil prices.
The oil market is underpricing some risks from the Iran war, global commodity trading house Vitol's managing director for Bahrain, Tom Baker, said on Tuesday.
Russia boosted oil exports via its western ports by 15% in May from April, according to two industry sources familiar with the data, as refinery outages caused by Ukrainian drone attacks push Moscow to export more crude.
West Texas Intermediate and Brent crude's front-month contracts both edged lower after hitting monthly highs during Monday's session.
U.S. stock futures were in the red after Asian markets broadly slipped, though European stocks were buoyed by AI exuberance.
Oil edged higher in early trade. President Trump on Monday aimed to quell a growing conflict between Israel and Hezbollah that threatened to derail U.S. peace talks with Iran.
Gains in tech stocks lifted the S&P 500, but nine of the 11 sectors fell.