OIL prices rose as renewed attacks in the Middle East threatened to derail a recovery in crude supplies through the Persian Gulf, while the ringgit weakened against the US dollar amid heightened market uncertainty.
West Texas Intermediate (WTI) crude advanced towards US$95 a barrel after edging higher in the previous session, while Brent crude closed below US$106, as escalating Iranian attacks on tankers in the Strait of Hormuz threatened the recovery in regional oil shipments.
The United States said it had assisted in shipping more than 19 million barrels of crude through the strategic waterway, even as security risks prompted more supertankers to turn away from the Persian Gulf.
Elsewhere, Saudi Arabia intercepted additional missiles and drones launched by Yemen’s Houthi rebels, while the headquarters of oil giant Saudi Aramco in the kingdom’s east was hit in the latest attacks.
Brent crude has surged more than 70 per cent this year as the US-Iran war disrupts energy markets. The risks have intensified following Houthi attacks on Riyadh’s main airport last week and a Saudi-backed campaign to reclaim rebel-held territory in Yemen.
“While the day-to-day headlines constantly move, the overarching picture in the Persian Gulf has been little changed throughout the past three months,” Bloomberg cited Raymond James the analyst at Pavel Molchanov, saying
He said tanker operators were becoming more adept at transferring crude between vessels at sea to maintain exports while reducing their exposure to Iranian attacks.
In currency markets, the US dollar index eased to 102.2 on Tuesday from 102.6 in the previous session, when it reached its highest level in 18 months.
The pullback came amid declining oil prices and US Treasury yields, while a technology-led sell-off supported safe-haven demand. Investors were also awaiting US consumer price index data on Wednesday for fresh clues on inflation and the Federal Reserve’s monetary policy outlook.
Traders had scaled back bets on another 25-basis-point US rate increase this month, with the probability of such a move standing at about 19 per cent.
For December, markets were pricing in a nearly 72 per cent chance of a 25-basis-point increase in the federal funds rate.
The US dollar weakened broadly, with its steepest losses against the Japanese yen after Japan’s wholesale inflation came in below expectations, although persistent price pressures continued to support expectations of further Bank of Japan rate increases.
Against the ringgit, the US dollar rose to RM4.0865 on Oct 14, up 0.03 per cent from the previous session. The exchange rate had gained 0.45 per cent over the past month, although the ringgit remained 3.40 per cent stronger against the greenback over the past 12 months.
Separate market data showed the dollar trading at RM4.0923 on Tuesday, up 0.17 per cent from the previous session and 0.59 per cent over four weeks, while it had fallen 3.27 per cent over the past year.
For Malaysia, sustained oil price volatility and a weaker ringgit could complicate the outlook for fuel costs and inflation, particularly if geopolitical disruptions persist and push up the cost of imported goods. - October 14, 2026