Crude oil futures gain amid reports of US attacks on Iranian island

On Tuesday morning, crude oil futures experienced a rise after reports emerged of US forces attacking an island in Iran. At 9:37 am, the price of January Brent oil was $104.89, up by 0.11 percent, while December crude oil futures on WTI were at $96.76, up by 0.31 percent. In the initial trading session on Tuesday, November crude oil futures on the Multi Commodity Exchange (MCX) were trading at ₹9175, up by 1.14 percent from the previous close of ₹9072, and December futures were at ₹9070, up by 1.07 percent from the previous close of ₹8974.

According to US officials cited by the Wall Street Journal, the US conducted strikes on Qeshm Island in Iran. Some media reports suggested the attacks were defensive in nature, aimed at the Strait of Hormuz. Iran’s IRNA had reported explosions on Qeshm Island earlier on Monday, raising concerns about the potential escalation of conflict in the West Asia region and its impact on crude oil supplies to the global market.

US President Donald Trump took to Truth Social to comment on the situation, stating that oil prices were falling like a rock, down almost $10 a barrel, a record, due to people's belief that there would not be a war with Iran. Iran reportedly wants a settlement as soon as possible. This post on Truth Social came ahead of the mid-term elections in the US, where Trump and his Republican Party are facing criticism over rising fuel costs. The conflict with Iran was cited as the main reason for these increasing fuel costs.