Economy: Israel-Hamas conflict causes noticeable increase in oil prices
The ongoing impact of geopolitical tensions on oil and fuel prices has signaled the first economic consequence of the Israel-Palestine conflict. If the per-ton prices of oil and diesel fuel on global markets rise even slightly further, a new round of price increases may be on the horizon.
The Israel-Palestine conflict has led to a noticeable increase in oil prices. Before the conflict, Brent crude oil was trading at around $83-84 per barrel. However, oil prices quickly responded to the geopolitical developments arising from the Israel-Palestine conflict. Oil prices rapidly rose to $89 per barrel, before easing back slightly. Currently, they are hovering in the range of $87-88 per barrel.
On the global markets, the per-ton prices of gasoline and diesel fuel have also risen. The per-ton price of diesel fuel in futures trading was at $845 before the conflict started, but it climbed up to $906 due to the conflict. Currently, diesel fuel is trading at $888 per ton, and prices continue to trend upwards.
Industry sources have noted that diesel fuel is entering a period of potential price increases, saying, “The per-ton price of diesel fuel is on the rise. If this trend continues, there may be a diesel price increase in the coming days. For gasoline, we do not expect a price movement at the moment.”
