Energy Preview: WTI crude oil rebounds from 5-week low amid renewed US Iran tensions

WTI crude oil climbed higher on Thursday from a five week low as renewed tensions between US and Iran amid fresh retaliatory strikes. Fresh attacks from US has reportedly added strain to a frail ceasefire and triggered a response by Tehran authorities, who said that they targeted a US base in the Gulf region. Meanwhile, as per reports, the US issued fresh sanctions against the recently created Persian Gulf Strait Authority, which regulates traffic through the Strait of Hormuz, further complicating navigation through the waterway. Meanwhile, the American Petroleum Institute (API) estimated that crude oil inventories in the United States fell by 2.8 million barrels in the week ending May 22. In the week prior, US crude oil inventories fell by 9.1 million barrels. Currently, the counter is quoting at $90.25 per barrel, up 1.77% on the day. On the MCX, Crude Oil futures are trading at around ₹8,604.00 per barrel.

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