LONDON - Agence France-Presse
Oil prices rebounded slightly yesterday on renewed fears about possible supply disruptions as Iran, one of the world's biggest producers of crude, tested a missile, analysts said.
A day after oil prices slumped more than $5, the market was also digesting a pledge by world leaders at their G8 summit in Japan to make the crude market more transparent.
London's Brent North Sea oil for August delivery jumped $1.91 to $138.34 a barrel in electronic deals. New York's main oil contract, light sweet crude for August delivery, won $1.61 to $137.65.
"Oil futures bounced back up, with investors buying on the dips after a sharp sell off Tuesday," said Sucden analyst Andrey Kryuchenkov. "Tensions in the Middle East were back in investor focus, supporting crude prices."
Crude producer Iran yesterday test-fired a missile it said is capable of reaching Israel, angering the U.S. amid growing fears that the standoff over the contested Iranian nuclear drive could lead to war.The Shahab-3 was among a broadside of nine missiles fired off simultaneously at 8:00 am (03:30 GMT) from an undisclosed location in the Iranian desert, state television pictures showed.