Oil extends gains as geopolitical concerns mount

Oil prices extended gains today, Sept. 17, recording their highest levels in nearly two weeks, as geopolitical concerns in the Middle East increased and ahead of the Federal Reserve’s decision on interest rates. 

Brent crude futures for November delivery rose 1.6%, or $1.13, to $73.88 a barrel—the highest level since Sept. 2. 

WTI crude futures for October delivery also rose 2.1%, or $1.48, to $71.57 a barrel—the highest since August. 

The gains came despite the dollar index, which measures its value against a basket of major currencies, rising by 0.20% to 100.96 points at 10:35 pm Makkah time. 

Geopolitical concerns related to the conflict in the Middle East and the possibility of its expansion are driving the rise in oil prices. In addition, the continued partial suspension of production in the Gulf of Mexico in the wake of Hurricane Francine also offered support. 

Investors are looking to the Federal Reserve, which will decide on interest rates on Sept. 18, with markets betting on a 50 basis point cut, a forecast some analysts have described as "exaggerated."