WTI closed positive at $1.09, expected ship attacks in Red Sea to impact supply: InfoQuest

West Texas Intermediate (WTI) crude futures in New York closed positive on Monday (February 26), supported by expectations that global oil supplies will be affected by the attack on the ship.

• The WTI contract is scheduled for delivery in April. The price of oil rose by $1.09, or 1.43%, to close at $77.58 per barrel.
• As for the Brent crude contract, which was delivered in April. It rose 91 cents, or 1.11%, to close at $82.53 a barrel.

The Houthis are an armed group in Yemen. Threatening to completely close the Bab al-Mandab Strait within days. After US and British forces bombed the Houthis in the coastal city of Hodeidah, which includes a Houthi military base, the goal of closing the Bab al-Mandab Strait was also to pressure Israel to end the war.

Many worry that closing the strait will disrupt global trade and the transportation of oil. The Bab al-Mandab Strait is an important point for shipping movement between the Red Sea and the Indian Ocean.

On the other hand, US President Joe Biden announced the imposition of new sanctions on Russia. In response to Russia sending forces to invade Ukraine. In response to the killing of Russian opposition leader Alexei Navalny. He is a competitor of Russian President Vladimir Putin, and the sanctions include more than 500 names of Russians and Russian entities.

As for the situation between Israel and Hamas, the latest reports indicate that the Israeli authorities have decided to send a delegation to Doha. This week, the Qatari capital is conducting negotiations to reach a ceasefire agreement in the Gaza Strip. This included the release of hostages held by Hamas in Gaza. Releasing Palestinian prisoners in Israeli prisons and increasing humanitarian aid in Gaza.

Investors will be watching the weekly oil inventory report released by the US Energy Information Administration (EIA) on Wednesday.

By InfoQuest News Agency (February 27, 2024)

Tags: WTI, WTI, oil price