STORY: Oil steadied on Friday (April 19) after prices spiked earlier on reports that Israel had attacked Iran.
Market fears of a major escalation to hostilities in the Mideast appeared to ease.
Oil prices initially jumped on concerns the Middle East oil supply could be disrupted.
The benchmark contracts surged more than $3 before dipping back down.
Sources told Reuters Israel launched an attack on Iranian soil on Friday.
It's the latest exchange between the two countries that threatens to drag the region deeper into conflict.
Last weekend Iran launched hundreds of drones and missiles in a retaliatory strike.
That after a suspected Israeli strike on its embassy compound in Syria.
Most of the drones and missiles were downed before reaching Israeli territory, with minimal damage and casualties.
The tensions have also led airlines to quickly change flight paths over Iran on Friday.
Flight tracking data showed they diverted to alternate airports or returned planes to their departure points in response to airspace and airport closures.
Many Western and Asian airlines had already been steering clear of Iran and its airspace before the Israeli attack.
Germany's Lufthansa on Wednesday (April 17) extended a suspension of flights to Tehran until the end of the month.
Australia's Qantas said on Saturday (April 13) it was rerouting flights between Perth and London on concerns about the Middle East.
