Oil prices traded unevenly on Tuesday 27 October, swinging through the day as a diplomatic opening in Tehran pulled prices one way and renewed attacks on Saudi Arabia pulled them the other. Published snapshots ranged from about $110 to about $116 for Brent, depending on the time of day and contract, so no single figure captures the whole session.

An early dip after the Tehran talks

Early trading pointed lower after talks in Tehran on Monday, when Saudi, Turkish and Pakistani officials met Iranian leaders to discuss regional security. Reuters reported Brent crude futures down 66 cents, or 0.57 per cent, at around $115.15 a barrel in early trading, while US West Texas Intermediate crude was down 44 cents, or 0.43 per cent, at around $101.32. Saudi Arabia said the visit sought to establish open negotiating channels to prevent the return of military escalation, and Iranian state media reported that the four countries agreed to continue talks on peace and security. It was the first high-level contact of its kind since the war began in February, and it trimmed some of the risk premium that had pushed Brent above $117 last week, its highest since April.

Later reports point firmer on fresh attacks

Later on Tuesday, however, Reuters reporting carried by Kitco put Brent hovering around $116 a barrel, with prices rising as renewed Houthi attacks on Saudi Arabia highlighted persistent supply risks. Other trackers sat lower: one morning snapshot put Brent at about $110, and another at $114.80, down 0.87 per cent. The spread reflects different times, contracts and data vendors rather than a single settled price, and it underlines how jumpy the market remains while attacks continue.

Why traders are not yet convinced

The relief from diplomacy was limited, because the attacks have not stopped. October has been the worst month for attacks on commercial shipping in the Strait of Hormuz and nearby waterways, according to a Washington-based think tank that has tracked maritime incidents worldwide since 2017. Its tally records 28 attacks in the Strait and surrounding waters in October, and 113 since the US-Israeli war with Iran began on 28 February. The International Maritime Organization recorded 120 incidents in the region over the same period, including more than 30 supertankers damaged, 11 of them in October. The Strait carried around a fifth of the world's energy supplies before the conflict.

Sources: Reuters; Kitco (Reuters); Reuters — Hormuz shipping attacks record (context figures).