Oil prices rise on U.S.-Iran escalation risk and diplomacy hopes

Oil prices rose Friday as investors weighed the risk of renewed U.S.-Iran military escalation after the midterm elections, alongside prospects for a diplomatic breakthrough. Brent crude futures climbed 1.67% to $99.90 per barrel, while U.S. West Texas Intermediate crude futures gained 1.43% to $91.69 per barrel. Analysts, including Rapidan Energy Group's Bob McNally, see an 80% probability of fighting resuming, potentially pushing both benchmarks above $100. Hopes for a diplomatic resolution emerged after Iran reportedly sent a nuclear proposal to Washington via Qatar. Iran reported three additional attacks on oil tankers in the Strait of Hormuz on Thursday, with vessel attacks continuing at a near-record rate.