Prices rose to a three-week high on Wednesday, boosted by rising political tensions in the Middle East. Clashes between Iraqi government forces and troops from the northern, semiautonomous Kurdish region have led to temporary shutdowns in crude production from the oil-rich Kirkuk province. However, the rally ran into resistance as traders stepped back and awaited more information on the extent of the disruption. “The market’s tired. It’s had a big rally,” said Donald Morton, senior vice president at Herbert J. Sims & Co., who oversees an energy trading desk. “I think you’ve got to look for escalation or if it slowly moves into the background.” Investors have remained skeptical of oil’s ability to break above $52 a barrel, especially as U.S. shale producers have used rallies as opportunities to hedge and lock in prices for future production. Harry Tchilinguirian, global head of commodity markets strategy at BNP Paribas , […]