- IEA to discuss proposed release of oil and diesel stocks, two EU diplomats say
- Houthi strikes on Aden airport intensify fears over regional supply disruption
- Ukraine and Russia trade attacks, including strikes on Russian oil facilities
- European diesel futures trades about $77 above Brent, highlighting tight fuel market
LONDON, Oct 7 (Reuters) - Oil prices rose on Wednesday, with Brent futures holding above $100 a barrel, on continued Middle East supply risks and a storm heading for oil-producing regions in the United States.
Brent crude futures rose by $1.22, or 1.21%, to $101.80 a barrel by 1008 GMT. US West Texas Intermediate (WTI) crude gained 46 cents, or 0.51%, to $89.90.
Investor sentiment lacks conviction that recent rises in supply and exports from the Middle East are sustainable, PVM analyst Tamas Varga said.
Downward pressure on prices abated because of the approaching US storm, as well as conflict in the Middle East and Ukraine, Varga said.
Yemen's Houthis attacked Aden international airport with ballistic missiles and explosive-laden drones on Wednesday, the country's transport ministry said, as fighting between the Iran-aligned group and Saudi-backed government forces intensified.
Ukraine struck two Russian oil facilities on Wednesday while Russia pounded Ukraine with waves of missiles and drones, killing at least 15 people, Ukrainian officials said.
Strikes on Russian energy infrastructure and the loss of Middle East refining runs have tightened fuel markets, Vitol CEO Russell Hardy said on Tuesday.
The International Energy Agency will hold an informal meeting at 1300 local time (1100 GMT) on Wednesday to discuss a proposed release of oil and diesel stocks, two European Union diplomats said, to relieve pressure on consumers and industry from soaring prices.
European benchmark diesel futures were trading at about $77 a barrel above Brent crude at 1008 GMT on Wednesday, up 13% on the day.
In the US, forecasters said on Tuesday that a storm forming in the Gulf of Mexico would become the first Atlantic hurricane of 2026 within two days and was likely to hit oil and gas facilities.
Offshore areas in the storm's path produce 15% of US crude oil and 5% of the country's natural gas.
KCM Trade chief analyst Tim Waterer said the storm was an "unwelcome complication for crude, raising the prospect of production and refining disruptions at a time when the market already has enough supply-side headaches".
Reporting by Robert Harvey in London and Jeslyn Lerh in Singapore Additional reporting by Helen Clark in Perth Editing by David Goodman
Source: Reuters