US CRUDE OIL PRICES FALL OVER 6%

IQPlus, (10/29)- US crude oil prices fell more than 6% on Monday, their worst day in more than two years after Iranian energy facilities were not damaged in an Israeli attack over the weekend.

US West Texas Intermediate crude futures plunged 6.13% to close at $67.38 a barrel, the biggest daily drop since July 12, 2022, when the benchmark price plunged 7.93%. Global Brent crude futures plunged 6.09% to close at $71.42 a barrel.

Israel on Saturday attacked Iranian military installations in three provinces in response to Tehran's ballistic missile launches against Israel on October 1.

Iran's Tasnim news agency reported that the attack, which the state-run Islamic Republic News Agency said killed four soldiers, had caused limited damage. The attack did not hit oil, nuclear and civilian infrastructure sites. Iran's oil news network Shana said that Iran's oil industry operations were running normally without disruption.

For weeks, markets have been bracing for Israeli retaliation following Iran’s direct attack on the Jewish state earlier this month. Wider Middle East tensions have been running high following attacks on Israel by Iran-backed Hamas on Oct. 7 last year.

A key consideration for oil markets has been direct engagement between the two sides, with fears of an attack on Iranian oil facilities growing in recent weeks. Iran accounts for up to 4% of global oil supply, according to the U.S. Energy Information Administration. (end/CNBC)