The escalation of the Middle East conflict has driven up oil prices, continuing the volatile trend of the energy market. The Middle East is one of the world's largest oil producing regions, and violent conflicts in the region have caused fluctuations in the energy market.
Brent crude oil futures rose 4% to over $89 per barrel.
West Texas Intermediate Oil Futures rose about 4% to over $86 per barrel.
So far, the war between Israel and Hamas has not had any direct impact on global oil supply and flow. But traders are concerned that this conflict may disrupt transportation on vital routes or lead to stricter restrictions on Iranian exports.
Against this backdrop, market participants are weighing signs that high oil prices have begun to suppress demand. This has led to significant volatility in the oil market this week.