Price movements
Brent crude futures rose $2.82, or 3.7 percent, to $79.40 per barrel upon settlement, while US West Texas Intermediate crude futures increased $2.61, or 3.6 percent, to $75.85.
In the United States, the world’s largest oil producer and consumer, Hurricane Milton swept through the state of Florida, where gasoline stocks ran out at nearly a quarter of gas stations and power was cut off to more than 3.4 million homes and businesses.
Prices rose this month after Iran fired more than 180 missiles at Israel on October 1, raising possibilities of a response by targeting Iranian oil facilities.
With no response from Israel yet, crude prices fell again and remained relatively stable throughout the week.
But investors are still cautious after Israeli Defense Minister Yoav Galant threatened Iran with a “deadly, targeted, and sudden” strike.
In a move that may boost oil demand in the world’s second-largest oil consumer, China published a draft law aimed at promoting private sector development, which is the latest step the country has taken to boost investor confidence amid an economic slowdown.
In the United States, markets have become more confident that the US Federal Reserve will lower interest rates in November after data showed an increase in weekly unemployment claims and an annual rise in inflation, the lowest since February 2021.
After raising interest rates aggressively in 2022 and 2023 to rein in inflation, the Federal Reserve began cutting interest rates in September.
Low interest rates reduce borrowing costs for consumers and businesses, which may boost economic growth and demand for oil.
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