2023.10.1109:43:00UTC+00Oil Prices Ease As Investors Await Inventory Data

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.