Oil prices fell slightly on Wednesday as investors watched the turmoil in the Middle East and awaited the weekly oil inventory reports for direction.
Benchmark Brent crude futures slipped 0.3 percent to $87.42 a barrel, while WTI crude futures were down 0.4 percent at $85.67.
Oil prices are displaying a degree of stability after climbing over 4 percent on Monday following an attack by Palestinian militants Hamas on Israel in Gaza.
Traders assessed the likely impact of potential supply disruptions due to the ongoing war in the Middle East.
The conflict may not pose an immediate threat to oil supply, but there is a risk that the conflict can spiral into a proxy war, embroiling the U.S. and Iran.
Traders also await weekly oil reports from the American Petroleum Institute (API) and U.S. Energy Information Administration (EIA) for direction.
The API's report is being released a day later than usual following Monday's Columbus Day holiday.
For comments and feedback contact: editorial@rttnews.com
Market Analysis
December 26, 2025 08:42 ET Third quarter economic growth data from some major economies including the U.S. were the main news in this holiday shortened week. GDP growth and industrial production data from the U.S. helped to boost morale, while the consumer confidence survey results were less upbeat. In Europe, the quarterly economic growth data from the U.K. drew attention, while the minutes of the Australian central bank’s latest policy session was in focus in Asia.