Brent crude climbs 0.5% to $105.25 a barrel as reported US military action revives concerns over Middle East supply disruptions and Strait of Hormuz shipping.

SINGAPORE — WEB DESK — November 3, 2026: Global oil prices edged higher in early Asian trading on Tuesday after reports of US strikes on Iran’s Qeshm Island renewed concerns about escalating tensions in the Middle East and potential disruptions to international energy supplies.

Brent crude futures rose 48 cents, or 0.5%, to $105.25 per barrel, while US West Texas Intermediate (WTI) crude gained 47 cents, also 0.5%, to $96.93 per barrel, according to market data reported early Tuesday.

The gains followed a sharp decline in the previous session. Brent crude settled at $104.77 per barrel on Monday, down $8.66, or 7.63%, as optimism about a possible diplomatic resolution to the US-Iran conflict eased some market concerns.

Qeshm Island Reports Renew Supply Concerns

The Wall Street Journal reported that US forces had struck Iran’s Qeshm Island, citing American officials. Some officials described the reported attacks as defensive measures intended to limit Iran’s ability to threaten commercial vessels travelling through the Strait of Hormuz.

The reported military action prompted renewed concern among traders about the potential for further escalation and prolonged disruption to oil shipments from the region.

The Strait of Hormuz is one of the world’s most important energy corridors, historically carrying approximately one-fifth of global oil and natural gas supplies. Any sustained disruption to shipping through the waterway could affect international energy markets and increase costs for oil-importing economies.

Diplomatic Efforts Keep Markets Uncertain

Despite the latest military developments, diplomatic contacts between Washington and Tehran are continuing. Iranian officials said discussions involving Qatari mediators had produced revised proposals, although no breakthrough had been announced.

US President Donald Trump has also indicated that a deal with Iran remains possible, while leaving uncertainty over whether further military action could follow.

The conflicting signals have left energy markets weighing the possibility of a diplomatic settlement against the risk of renewed fighting.

For now, the latest increase in crude prices reflects renewed geopolitical uncertainty rather than confirmation of a major new interruption to physical oil supplies. Traders are likely to remain sensitive to developments around the Strait of Hormuz, the progress of negotiations and any further military action.

The direction of oil prices will depend heavily on whether diplomatic efforts reduce tensions or the conflict creates additional risks for regional energy production and shipping.