Analysts discuss potential for crude oil price surge following Iran’s attack | World News

Oil futures remained relatively stable following Iran’s attack on Israel, as market analysts weighed in on the potential impact of the conflict on global oil prices.

Goldman Sachs analysts noted that oil prices already include a risk premium of $5 to $10 per barrel due to potential supply disruptions. The uncertainty surrounding Israel’s response to the attack will determine the extent of the threat to regional oil supply.

ING Groep strategists suggested that the market had already factored in some form of attack, and the limited damage from the assault could lead to a measured response from Israel. However, the potential for stricter oil sanctions against Iran remains a key concern.

RBC Capital Markets analysts warned that a significant Israeli retaliation could escalate the situation into a wider war, potentially impacting oil prices. Conversely, ANZ Banking Group’s senior commodity strategist expressed optimism that further escalation is unlikely, given the well-telegraphed nature of the attack.

John Kilduff of Again Capital LLC offered a sigh of relief to the oil market, noting that tensions did not escalate as feared. A/S Global Risk Management highlighted the possibility of stricter sanctions on Iran, as the US-led measures have not curbed the country’s production and exports.

Overall, market watchers are closely monitoring Israel’s response to the attack and the potential implications for global oil supply and prices. The situation remains fluid, with the market awaiting further clarity before making significant price movements.