Oil prices rise on Wednesday

Oil prices rose on Wednesday after two vessels were struck in the Strait of Hormuz and Iranian officials told Reuters that Tehran had adopted new tactics to target ships, raising concerns over global oil supplies.
Brent crude futures gained 0.3 per cent to $106.03 a barrel by 0630 GMT, while US West Texas Intermediate (WTI) crude rose 0.3 per cent to $94.42. Both contracts had climbed more than $1 earlier in the session.
The United Kingdom Maritime Trade Operations said a container ship and a tanker were hit by unknown projectiles in the Strait of Hormuz on Tuesday. Iranian officials said the country had begun using different offensive tactics against vessels it considers in violation of its restrictions around 10 days ago.
Supply concerns also increased after Iran-allied Houthi forces attacked an administrative building belonging to Saudi Aramco in Dhahran, causing a limited fire, Saudi Arabia’s energy ministry said on Wednesday.
However, expectations that higher Russian diesel exports would ease market tightness could limit further price gains, Nissan Securities Investment chief strategist Hiroyuki Kikukawa said.
Saudi Arabia increased oil production last month despite shipping disruptions caused by the US-Iran war, contributing to a sharp rise in OPEC+ output, the Organization of the Petroleum Exporting Countries said on Tuesday.

Attribution: Reuters