Oil prices fell on Monday after Iran’s reprisal attack on Israel over the weekend.
Brent crude – a key benchmark for oil prices internationally – was lower but still trading close to $90 a barrel on Monday morning.
Prices had already risen in expectation of action by Iran, with Brent crude nearing a six-month high last week.
Analysts said the markets would be looking to see how the conflict could affect global supply chains.
Oil price fluctuations can cause ripple effects across the world due to countries being heavily reliant on the commodity, which is used to produce fuels such as petrol and diesel. Fuel and energy prices have been a major driver behind the higher cost of living worldwide in the past couple of years.
Analysts said Israel’s reaction to the attack would be key for global markets in the days and weeks ahead.
Israeli Defence Minister Yoav Gallant has said the confrontation with Iran is “not over yet”.At the end of last week, the price of Brent crude touched $92.18 a barrel, the highest since October, but early on Monday it had fallen back to around $89.70.
Credit: bbc.com
