WTI crude rebounds over 5% to $83 as geopolitical risks escalate following a US interception of an Iranian attack attempt.
Oil prices surged after West Texas Intermediate (WTI) rebounded more than 5% to exceed $83, driven by heightened Middle East tensions. The US military intercepted an Iranian attempted surprise attack on its troops, reversing earlier declines.
Earlier, WTI had dropped 4.1% to $79.26 per barrel, while Brent crude fell 4.8% to $84.10 amid hopes of de-escalation. The volatility underscores crude’s sensitivity to geopolitical developments as markets weigh risks ahead of the July FOMC meeting.
The rebound has increased expectations for a potential 25-basis-point rate hike in July, with markets pricing in a 35.8% probability.