Crude futures rose in early Asian trading today following Iran's surprise attack against US bases across the Middle East late on 28 July.
The front-month September Ice Brent contract rose as high as $88.13/bl shortly after trading began in Asia, before easing to $87.15/bl at around 11:00 Singapore time (03:00 GMT), up by 3.6pc from the close on 28 July.
The September Nymex WTI contract rose to $83.30/bl before easing to $82.18/bl, up by 3.7pcfrom 28 July.
Iran launched an apparent surprise attack against US bases across the Middle East at 21:45 GMT on 28 July, according to the US Central Command (Centcom), which oversees the Middle East-based US forces. Official Iranian sources did not immediately confirm the attack or provide an explanation.
Centcom and Saudi Arabia's armed forces in turn conducted precision strikes in Iraq against Iran-aligned militias that the Islamic Revolutionary Guard Corps (IRGC) directed to strike US forces and Saudi energy infrastructure, said Centcom.
"US and Saudi fighter aircraft struck multiple logistics and weapons sites across eastern Iraq in a strong response to over 30 IRGC-directed aerial drone attacks in the last 72 hours," Centcom said.
Before the latest rebound in crude futures, oil prices had dropped following a halt in US and Iranian attacks against each other since 24 July. US president Donald Trump's administration said it was pursuing some form of diplomacy with Iran, but the parties' public statements continue to highlight disagreement over the strait of Hormuz and other issues.
Trump met with Israeli prime minister Benjamin Netanyahu in Washington on 28 July, with both describing their meeting as productive but providing few other details.
