Oil prices rise again due to Hurricane Milton.

Crude oil prices jumped during trading on Thursday, recovering from some losses sustained over two consecutive sessions, amid optimism in the markets regarding U.S. demand for crude oil as the conflict in the Middle East continues.

In this regard, crude oil prices found strong support due to Hurricane Milton, which struck the United States - the largest producer and consumer of oil in the world - as it made landfall on the west coast of Florida, posing a threat of potential flooding and incurring losses of over $2 billion.

The storm has already increased demand for gasoline in the state, with about a quarter of the supplies sold at gas stations, which helped support crude oil prices amid growing concerns about U.S. oil production in the coming period.

Furthermore, investors remained cautious about escalating geopolitical tensions and Israel's response to Iran, particularly after Israel vowed to deliver a deadly, precise, and surprise strike against Iran.

On the demand side, some points raised in the minutes of the U.S. Federal Reserve's September meeting strengthened the bullish momentum for crude oil prices; the meeting results revealed the continued strong economic growth in the U.S. and that the onset of an interest rate cut cycle would mitigate damage to the labor market.

This has sparked market optimism regarding the recovery of economic activity in the U.S. and its reflection on the country's economic growth, and consequently, the future demand for crude oil.

Current Crude Oil Prices

In today’s trading, Brent crude oil futures recorded an increase of approximately 1.23%, reaching $77.28 per barrel. At the same time, West Texas Intermediate crude oil futures rose by about 1.20%, recording $74.50 per barrel.