Gains in oil are sustained as geopolitical supply risks rise.

Oil prices rose on Wednesday due to concerns over availability of fuel and crude following strikes on Russian refineries by the Ukrainians and the possibility of the Israel-Hamas conflict expanding to include Iran.

US West Texas Intermediate crude futures rose by 0.08% to $85.22 per barrel, while Brent crude futures for June rose by 0.19% to $89.09 per barrel. The prices rose after a drone strike by Ukraine on a second Russian refinery raised the possibility of shutting down even more of the nation’s processing capacity.

Oil prices hit a five-month high due to geopolitical tensions that could disrupt supply.Mexico’s Pemex stopped crude exports to prepare for domestic oil processing at a new refinery. Last week, US crude inventories saw a decline of 2.3 million barrels.

Analysts predicted a 1.5 million barrel drop in the US inventory report expected on Wednesday. OPEC+ meeting on Wednesday will not suggest changing the organization’s oil output strategy, according to five OPEC+ sources.

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