Oil has made gains in commodities trading this afternoon, as geopolitical tensions gave the black stuff a boost.
Tensions between the West and Iran have had a significant impact on the price of the fuel throughout the year and president Barack Obama is expected to reiterate his harsh standpoint in an upcoming speech to the United Nations General Assembly.
Iran's controversial nuclear development programme is at the heart of the issue, as the Middle Eastern country has prevented international authorities from inspecting all of its operations, giving rise to speculation the nation is developing weapons – which the government denies.
Obama – who is currently vying for a second term in office – is expected to tell the assembly that the US will do what is necessary to prevent Iran from making such devices.
At 16:30 BST, Brent Crude Oil Futures on the ICE Futures Europe index were one per cent higher to $110.94 per barrel, while West Texas Intermediate Crude Oil Futures on the ICE Futures US Index rose 0.9 per cent to $92.85 per barrel.
Find the latest spread betting strategies for the commodities market at City Index.
GAIN Capital UK Limited (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.