Brent crude climbed about 1% to trade near $93 a barrel on Wednesday, rebounding from a 10-week low as US–Iran tensions remained high. Prices found support after Iran’s security chief stated that Tehran would not allow any enriched nuclear material to leave the country, highlighting a key sticking point for diplomacy, given Washington’s insistence that nuclear issues be addressed at the outset of any talks to end the conflict.
Although US officials downplayed the likelihood of further military strikes, an Iranian security official rejected claims that negotiations were taking place. At the same time, elevated shipping risks in the Strait of Hormuz continued to underpin prices: 37 vessels were attacked in October, the highest monthly number since the war began. In a related development, a tanker was hit off the coast of Oman, and Iran’s Revolutionary Guards reported that two additional tankers caught fire after striking naval mines.
On the supply side, the American Petroleum Institute estimated that US crude inventories rose by 9 million barrels last week.