Oil prices fall as US delays decision on direct Iran involvement

SINGAPORE: Oil prices fell on Friday after the White House delayed a decision on U.S. involvement in the Israel-Iran conflict, but remained on course for a third consecutive weekly rise.
Brent crude futures fell $2, or 2.5%, to $76.85 a barrel by 0648 GMT but still looked set to gain more than 3% on the week.
U.S. West Texas Intermediate crude for July - which did not settle on Thursday as it was a U.S. holiday and expires on Friday - was down 14 cents, or 0.2%, to $75.
The more liquid August contract was up 0.3%, or 19 cents, to $73.69.
On Thursday prices jumped almost 3% after Israel bombed nuclear targets in Iran and Iran fired missiles and drones at Israel. The week-old war between Israel and Iran showed no signs of either side backing down.
Iran is OPEC's third-largest producer.
Brent futures trimmed previous session gains following the White House's comments that President Donald Trump would decide whether the U.S. will get involved in the Israel-Iran conflict in the next two weeks.
'Oil prices surged amid fears of increased U.S. involvement in Israel's conflict with Iran. However, the White House press secretary later suggested there was still time for de-escalation,' said Phil Flynn, analyst at The Price Futures Group.
'The 'two-week deadline' is a tactic Trump has used in other key decisions. Often these deadlines expire without concrete action,.. which would see the crude oil price remain elevated and potentially build on recent gains,' said Tony Sycamore, analyst at IG.
Emril Jamil, oil research analyst at LSEG, said the 'unwavering determination' of the Organisation of Petroleum Exporting Countries and its allies (OPEC+) to increase output 'may have added jitters to the market'.

Try Our AI Features

Explore what Daily8 AI can do for you:

Learn with AIFact CheckingText to SpeechAI Summary

Related Articles

New Straits Times

2 hours ago

• New Straits Times

Asean not morally ambiguous

AS the war in Gaza grinds on, some have begun to question Asean's moral posture, suggesting it is caught between ethical clarity and geopolitical caution. A recent Nikkei Asia editorial, for instance, claimed Asean suffers from a strategic and moral dilemma in responding to the Israel-Palestine conflict. However, far from being paralysed, Asean has consistently supported a peaceful resolution based on international law. Since the 1970s, Asean has endorsed the two-state solution as the only viable path towards lasting peace. This includes support for United Nations Security Council Resolutions 242 and 338, the 1993 Oslo Accords, and the 2002 Arab Peace Initiative — also known as the Makkah Accord. These are firm commitments to legality, diplomacy and human rights. The claim that Asean has been muted or morally ambiguous dismisses the role played by key member states — especially Malaysia and Indonesia. Both have consistently condemned Israeli aggression and voiced support for Palestinian self-determination. Singapore, while maintaining diplomatic relations with Israel, has also supported peaceful coexistence and a two-state solution grounded in rule of law. Asean has chosen collective consensus and sustained diplomacy over reactionary statements or token gestures. If paralysis exists, it is not within Asean, but within Israel's long-standing policy of rejectionism. Since the assassination of prime minister Yitzhak Rabin in 1995, successive Israeli governments have walked away from every serious peace initiative. The expansion of illegal settlements, the military blockade of Gaza and discriminatory policies against Arab citizens have created a system many have likened to apartheid. The tragic events of Oct 7, 2023, have been cited by Israel to justify its indiscriminate bombardment of Gaza's hospitals, schools and refugee camps. Entire neighbourhoods have been flattened. Food, water and fuel have been denied to over two million civilians, more than half of whom are children. This is not self-defence — it is collective punishment, forbidden under international humanitarian law. Asean, by contrast, has called for an immediate ceasefire, unimpeded humanitarian access and a return to negotiations. What Asean cannot do — because of geography and geopolitical limits — is intervene in a war sustained by decades of US vetoes at the UN Security Council and continuous arms support for Israel from Washington, London and Berlin. Notably, even within Europe there is growing unease. Belgium, Spain, Norway and Ireland have moved towards recognising Palestine as a sovereign state. They have criticised Israel's starvation tactics and disproportionate use of force. This shift is not an abandonment of Western alliances — it is a recognition that peace cannot be achieved through occupation and siege. Asean's position has also found resonance across the Global South. At the Asean-GCC Summit in October 2023, both blocs jointly reaffirmed their support for the two-state solution and peaceful coexistence. Asean's alignment with the Gulf Cooperation Council (GCC), the UN and the Arab League signals a unified call for justice — not through military intervention, but through diplomatic resolve. Asean does not practise megaphone diplomacy. Its strength lies in principled patience and coordinated regional consensus. Unlike Western powers, which condemn Russia's invasion of Ukraine but defend Israeli strikes on Gaza, Asean does not apply moral standards selectively. What many forget is that this is not a war between two equal sides. It is the latest chapter in a prolonged occupation that began in 1967. To fault Asean for not taking sides in such a structurally unequal conflict is to conflate strategic restraint with moral apathy. Indeed, Asean's restraint is its greatest diplomatic asset. By refusing to inflame tensions or escalate rhetoric, Asean positions itself as a principled bloc that adheres to international norms. Malaysia and Indonesia, as prominent members of the Organisation of Islamic Cooperation, have also spoken not just for Muslims, but for all who uphold dignity, justice and legality. The tragedy of Gaza is the failure of Israel to embrace coexistence, to respect international law and to heed decades of global appeals for peace. Asean has made its position clear: the only path forward is an end to occupation and the realisation of Palestinian statehood. Until that happens, it is not Asean's credibility that should be questioned — it is Israel's.

Malaysiakini

3 hours ago

• Malaysiakini

Mindef keeping close eye on Iran-Israel conflict

The Defence Ministry will continue to closely monitor developments in the Iran-Israel conflict, given its potential implications for regional security and national interests, said Defence Minister Khaled Nordin. He said the situation is alarming as it could escalate into a broader conflict, including disrupting the global supply chains, impacting the world economy, and endangering the safety of Malaysians in the region.

The Star

3 hours ago

• The Star

Bitcoin falls 4% to $99,237

FILE PHOTO: Representations of cryptocurrency bitcoin are seen in this illustration picture created in Paris, France, March 9, 2024. REUTERS/Benoit Tessier/Illustration/File Photo (Reuters) -Bitcoin, the world's largest cryptocurrency by market value, was down by 4.13% at $99,237 at 10:52 a.m. ET (1452 GMT) on Sunday. Ether, the second-largest cryptocurrency, was down by around 8.52% at $2,199. (Reporting by Gnaneshwar Rajan in Bengaluru; Editing by Lisa Shumaker)