Derren Nathan, head of equity research at Hargreaves Lansdown, said: “Brent Crude is currently trading at $113 per barrel but has bounced between $104 and $118 over the last 24 hours as traders continue to grapple with the standstill of shipping in the Strait of Hormuz, which typically transports 20 million oil equivalent barrels of hydrocarbons each day.
“The International Energy Agency is considering the release of further emergency reserves, but the effectiveness of this temporary measure is limited, with a swift end to hostilities in the Gulf remaining key to restoring stability.
“US crude inventories are one to watch after a surprise build last week, illustrating strength in America’s domestic energy supplies.”
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