Brent crude futures increased by 43 cents, or 0.6 per cent, settling at $78.05 per barrel, while US West Texas Intermediate crude futures rose by 67 cents, or 0.9 per cent, closing at $74.38 per barrel.

Israel vowed to retaliate against Iran following a missile attack launched at Israel, which occurred after Israel had assassinated the leader of Iran-backed Hezbollah a week prior. These developments prompted oil analysts to caution their clients about the potential consequences of a wider conflict in the Middle East.

During the trading session, oil prices surged nearly 2 per cent but experienced a sharp decline after Biden indicated that, if he were in Israel's position, he would contemplate alternatives to striking Iranian oil fields. Oil benchmarks had soared over 5 per cent after Biden confirmed that the US was engaged in discussions with Israel regarding support for a strike on Iranian energy infrastructure.

In terms of weekly performance, Brent crude saw an increase of over 8 per cent, the highest weekly gain since January 2023, while WTI recorded a 9.1 per cent rise week-over-week, the most significant increase since March 2023.