Oil prices rise on Tuesday

Oil prices rose for a third consecutive session on Tuesday as fading prospects for a deal to end the Middle East war and continued disruptions to shipping through the Strait of Hormuz heightened concerns over energy supplies.

Brent crude gained 89 cents, or 1 per cent, to $91.76 a barrel by 0641 GMT, its highest since July 30, while US West Texas Intermediate crude rose $1.05 to $85.55 a barrel, the highest since July 31.

The gains came after Iran said it would adopt a more offensive military stance as efforts to secure a permanent end to the war stalled, while Washington ruled out extending a temporary ceasefire agreement. Meanwhile, oil tanker traffic through the Strait of Hormuz remained limited, with crossings still in single digits following further attacks on vessels.

Analysts said prolonged uncertainty could keep oil prices elevated, with DBS Bank expecting crude to trade between $80 and $100 a barrel in the near term.

Attribution: Reuters