Overview

• Oil prices fluctuated due to escalating geopolitical tensions in the Middle East, with attacks on U.S. troops in Jordan and a fuel tanker in the Red Sea causing concerns over potential supply disruptions.
• Hamas is considering a temporary truce in Gaza, which could lead to the release of more hostages.
• U.S. President Joe Biden has vowed to hold those responsible for the deadly drone strike in Jordan accountable, raising fears of further escalation in the region.
• Despite the geopolitical tensions, the oil market's response has been muted, with analysts suggesting that a direct conflict between the U.S. and Iran would likely send prices higher.
• China's real estate crisis and the potential for a U.S. response to the Middle East situation are also influencing oil prices.