Oil edges up after report of US strike on Iran's Qeshm Island

Oil benchmarks ticked higher on Tuesday after The Express Tribune reported a Wall Street Journal account that the US had attacked Iran’s Qeshm Island. At 0355 GMT, West Texas Intermediate stood at $96.66 a barrel, up 20 cents, while Brent reached $104.8, a rise of 3 cents.

The small gains followed a decline of more than 7% in both benchmarks on Monday, when discussions involving Iranian and Qatari officials had encouraged hopes for peace. Analysts cited in the report said the strike revived concerns about supply risks, though prices’ limited rebound suggested much of the geopolitical risk was already reflected. The conflict has curtailed Strait of Hormuz traffic, a route that previously handled about one-fifth of global crude and natural gas supplies.