Crude oil futures traded higher on Monday morning due to fears of rising conflict in the West Asia region.

At 9.56 am on Monday, October Brent oil futures were at $80.61, up by 0.41 per cent, and September crude oil futures on WTI (West Texas Intermediate) were at $77.39, up by 0.30 per cent.

August crude oil futures were trading at ₹6492 on Multi Commodity Exchange (MCX) during the initial hour of trading on Monday against the previous close of ₹6478, up by 0.22 per cent, and September futures were trading at ₹6416 against the previous close of ₹6409, up by 0.11 per cent.

Media reports said that Iran-backed Hezbollah conducted a rocket strike in Israel-occupied Golan Heights area on Saturday killing 12 children and teenagers. Following this, the Sunday’s meeting of Israel’s security cabinet authorised the government to decide on the response to the rocket strike.

Though Hezbollah denied its role in the strike, Israel conducted attacks in southern Lebanon on Sunday.

Market fears that increase in tensions in the West Asia region could impact the crude oil supplies from the region. Increase in tensions has also reduced the chances of a ceasefire between Israel and Hamas in the region.

Meanwhile, market is also waiting for the outcome of the meeting of the US Federal Reserve later this week. General perception in the market is that the US Federal Reserve will keep the interest rates on hold this time, and will reduce it in the September meeting.

August natural gas futures were trading at ₹176 on MCX during the initial hour of trading on Monday against the previous close of ₹173.70, up by 1.32 per cent.

On the National Commodities and Derivatives Exchange (NCDEX), August guargum contracts were trading at ₹10815 in the initial hour of trading on Monday against the previous close of ₹10728, up by 0.81 per cent.

August jeera futures were trading at ₹26600 on NCDEX in the initial hour of trading on Monday against the previous close of ₹26485, up by 0.43 per cent.

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