Drones carrying bombs reportedly attacked an Iranian defense factory in the central city of Isfahan, but have done little to shake up the oil market, so far.
Heightened tensions in the Middle East, after Israeli drones carrying bombs reportedly attacked an Iranian defense factory in the central city of Isfahan, have done little to shake up the oil market — at least so far.What happened Authorities in Iran said Sunday that bomb-carrying drones targeted an Iranian defense factory,...
Oil price reaction The front-month benchmark contracts for U.S. and global oil futures gained overnight, following the news, but the rise was short-lived. What’s at stake for oil? The attack on Iran’s weapons facilities could lead to “retaliations in the Middle East,” said analysts on the Kansas City energy team at StoneX, in Monday’s newsletter.
Calm for now For now, the oil market has seen little lasting reaction to the increased tensions in the Middle East, with futures trading lower. Iran exported nearly 840,000 barrels a day of petroleum products in 2021, up from about 700,000 barrels a day in 2020, according to the U.S. Energy Information Administration.
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