Oil prices surge ahead of US presidential election as Biden hints at potential Israeli strikes on Iranian oil facilities

Just a month before the US presidential election, President Joe Biden talked about ongoing discussions regarding possible Israeli strikes on Iranian oil facilities which caused a sudden spike in oil prices on Oct 3.

When asked by a reporter whether he supported Israel striking Iran's oil facilities during a press briefing, Biden said, "We're discussing that. I think that would be a little... anyway."

Following Biden's speech, worries over the Middle East war, caused oil prices to spike by 5%.

An increase in oil prices might be extremely detrimental to Biden's Vice President Democratic nominee Kamala Harris, as she goes head-to-head with Republican candidate and former president Donald Trump on Nov 5, in a contest heavily influenced by the cost of living in the country.

Biden said that he did not anticipate Israel striking back for Tehran's missile attack on Israel before at least Oct 3.

Even though Israeli Prime Minister Benjamin Netanyahu has recently ignored appeals for moderation as he attacked the Iran-allied Hezbollah militia in Lebanon, Biden said he did not anticipate any rapid response from Israel.

"First of all, we don't 'allow' Israel; we advise Israel. And nothing is going to happen today," said Biden, when asked if he would permit Israel to take revenge on Iran.

On Oct 2, Biden declared that he would not support Israel's attack on nuclear sites in Iran. Netanyahu threatened to take revenge on Tehran after Iran launched almost 200 rockets directly into Israel on Oct 1.

Iran said it was in retribution for the execution of Hassan Nasrallah — Hezbollah's top leader.

The Israeli military advised Lebanese citizens on Oct 3 to leave southern Lebanon, north of a UN-designated buffer zone, indicating that it may expand its ground incursion against the Hezbollah militant group that began earlier this week.

Hezbollah has been launching missiles at Israel since shortly after its Palestinian ally Hamas attacked Israel on Oct 7, 2023, and Israel's crushing retaliatory attacks in Gaza.