Oil hovers near multi-month highs as Trump considers Iran strike

Oil prices are headed for their biggest monthly gains in years on Friday as tensions in the Middle East escalated over a possible US attack on Iran that could disrupt supplies from one of the biggest OPEC producers. Brent crude futures fell 21 cents to $70.50 a barrel by 0139 GMT after rising 3.4% to close at its highest since July 31 on Thursday. The March contract expires later on Friday.The more active April contract slid 37 cents to $69.22. US West Texas Intermediate crude dropped 39 cents to $65.03 a barrel after gaining 3.4% to settle at its highest since September 26 in the previous session. Both benchmarks are set to post their first monthly gain in six months with Brent up more than 16% to notch its biggest monthly jump since January 2022.