Petroleum futures were up on Monday morning as markets responded to the possibility of Israel launching an assault in Gaza.

Crude prices backed off earlier morning highs and were up about 50cts/gal as of 11 a.m. ET. RBOB and ULSD futures were each about 2cts/gal higher.

The gains come after the Israel Defense Force warned Palestinians to leave Rafah in southern Gaza. Cease-fire talks between Israel and Hamas, which had contributed to falling prices last week, appear to have broken down.

The NYMEX June West Texas Intermediate contract was ahead 47cts to $78.58/bbl approaching midday after rising as high as $79.09 earlier in the morning. The July WTI contract was 42cts higher at $78.16/bbl. July Brent crude was up by 40cts to $83.36/bbl and the August Brent contract was 41cts higher at $82.86/bbl.

Gasoline futures were leading refined products higher, with the NYMEX June RBOB contract 2.32cts ahead to $2.5783/gal, about 1ct off earlier highs. The July RBOB contract was up by 2.22cts to $2.5487/gal. The NYMEX June ULSD contract was 1.85cts higher at $2.4619/gal, about 0.5cts below the morning high. The July contract was up by 1.62cts to $2.4732/gal.

If Monday's gains hold, they will end a five-day streak of declines in crude contract. RBOB and ULSD futures have fallen in four of the last week's five sessions.

Gasoline and diesel prices were higher in most U.S. spot markets, though New York Harbor CBOB was off by 0.32ct, as its premium to the June RBOB narrowed by 2.65cts.

Ethanol-related D6 and biomass-based diesel D4 Renewable Identification Number credit values were rising for a second day Monday, with both 0.5ct higher in morning trading.

This content was created by Oil Price Information Service, which is operated by Dow Jones & Co. OPIS is run independently from Dow Jones Newswires and The Wall Street Journal.

--Reporting by Steve Cronin,; Editing by Jeff Barber,

(END) Dow Jones Newswires

05-06-24 1207ET