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Oil prices inched higher Wednesday as Middle Eastern shipping attacks continued and Iran-US negotiations stalled, though softer demand projections from major forecasters capped upward momentum.
Oil prices rose more than 1% as diplomatic hopes for reopening the Strait of Hormuz dimmed following fresh disputes over compensation between the United States and Iran, complicating regional energy flows.
Shell's first-half earnings jumped 70 per cent to US$16.75 billion, driven by volatile oil markets and strong trading performance despite Middle East disruptions and production losses in Qatar.
Malaysia's stock market retreated as crude oil prices surged past US$100 a barrel, driven by Middle East conflict fears. The FBM KLCI fell to a 10-day low, though energy stocks found support from rising commodities.
Bursa Malaysia's FBM KLCI index edged up 3.01 points to 1,714.38 at opening, buoyed by surging oil prices amid Middle Eastern tensions, though global tech weakness from AI spending concerns kept gains muted.
Oil prices climbed Friday as US-Iran hostilities escalated, with both nations exchanging strikes across the Gulf region. Concerns over potential Red Sea shipping disruptions pushed crude futures higher.
Malaysia's government will not immediately revise Budget 2027 fiscal projections despite oil price volatility driving a RM40 billion surge in fuel subsidies, Deputy Finance Minister Liew Chin Tong confirmed in Parliament today.
Southeast Asia's offshore energy sector is attracting robust investment despite recent Middle East tensions, with greenfield capital expenditure projected to exceed US$100 billion and a 12 per cent annual increase, signalling strong regional confidence.