Oil edges down as investors weigh uncertainty over US-Iran strikes

Oil benchmarks slipped on Thursday as market participants weighed the risk that fresh military exchanges between the United States and Iran could disrupt Middle Eastern supplies, according to Business Recorder. Brent crude futures dropped 59 cents, or 0.62 per cent, to $95.04 a barrel by 0509 GMT, while West Texas Intermediate fell 38 cents, or 0.42 per cent, to $90.63.

The newest round of strikes was the heaviest exchange since July, and the conflict has now reached its seventh month. In the prior session both benchmarks ranged from $2 a barrel higher to $1 lower, with session peaks the highest since July 24. Prices eased back as there were tentative signs the latest escalation was waning, with no confirmed fire reported since around midday Wednesday Sydney time, IG analyst Tony Sycamore noted.

President Donald Trump said on Wednesday the renewed push against Iran would not last too long, and that American forces had struck Iranian radar and missile sites. Traffic through the Strait of Hormuz was below its 10-day average of roughly 13, with four commodity vessels crossing on Wednesday. Separately, Iraqi crude exports climbed to about 2.34 million barrels daily in August, compared with 1.35 million in July, according to two energy officials.