Oil rose after falling to two-month lows, with Brent up 0.78% to $92.20 a barrel and U.S. WTI up 0.57% to $86.53. Shipping attacks in and around the Strait of Hormuz offset hopes for de-escalation in the Iran war.
Thirty-seven ships were attacked in the Strait of Hormuz and surrounding waterways in October, the highest monthly total since the war began, according to the Washington Institute for Near East Policy. Ten attacks have been recorded so far in November. A tanker was struck northeast of Oman on Tuesday, and Iran's Revolutionary Guards Navy said two tankers caught fire after hitting naval mines on an “unauthorized route” through the strait.
Brent futures rose 71 cents to $92.20 a barrel by 0119 GMT, while U.S. West Texas Intermediate crude gained 49 cents to $86.53. In the previous session, prices initially fell by more than $3 a barrel after U.S. officials downplayed the need for further military strikes against Iran, then recovered some losses after an Iranian security official said no talks were taking place.
U.S. crude stocks rose by 9 million barrels in the week ended November 6, market sources said, citing American Petroleum Institute data. In Russia, oil refining capacity has fallen about 30% since late October following renewed Ukrainian drone attacks, industry sources said.
