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Oil Rises on Middle East Tensions and Iran Sanctions Risk

Bloomberg Markets •
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Oil edged higher as traders looked for the next catalyst to set direction, with renewed Israeli attacks on Lebanon and the prospect of fresh US sanctions on Iran adding to geopolitical uncertainty.

Brent crude and West Texas Intermediate both posted modest gains as market participants weighed supply disruption risks against demand concerns. The escalation along the Israel-Lebanon border raised fears of a broader regional conflict that could threaten key shipping routes and production facilities.

Meanwhile, anticipation of tighter US enforcement on Iranian oil exports provided additional price support. Analysts noted that while immediate supply impacts remain limited, the cumulative effect of Middle East tensions continues to underpin a risk premium in crude markets.

Trading volumes remained relatively light as investors awaited clearer signals from OPEC+ policy meetings and upcoming US inventory data for directional conviction.