On Friday, oil prices surged by almost 3% to a one-week high due to concerns that the ongoing fighting between Israel and Gaza may turn into a larger war that would affect the world's supply of crude oil.

Brent futures climbed by 2.9% to $2.55 per barrel a barrel, while U.S. West Texas Intermediate (WTI) advanced by 2.8% to $85.54 per barrel.

Energy companies are finding it more appealing to deploy ships to the United States to pick up crude for export as a result of Brent's premium over WTI reaching its largest level since March.

Trade was erratic. Following US military strikes on Iranian targets in Syria early in the day, oil prices surged by more than $2 per barrel. Then, when the markets processed different reports on mediation discussions between Israel and the extremist Hamas group, which were facilitated by Qatar in cooperation with the United States, prices momentarily went negative.

Although events in the Middle East have not yet directly impacted the availability of oil, many are concerned that major oil producer and Hamas supporter Iran and other countries may stop exporting their goods.

September saw a spike in U.S. consumer expenditure, which was predicted to level off in early 2024. The U.S. Federal Reserve may have slowed economic growth and decreased demand for oil if it continues to raise interest rates in an effort to combat inflation, according to some experts.