Oil and energy

Oil prices fall as Middle East exports recover

Oil prices fell 1% on Thursday as a recovery in Middle East crude exports and a surprise rise in U.S. inventories eased supply concerns, while investors assessed the latest diplomatic efforts between the United States and Iran to end the conflict in the Middle East. By 04:20 GMT, Brent crude futures had fallen 1.1% to $96.92 a barrel, while U.S. West Texas Intermediate crude dropped 1.4% to $89.18 a barrel. The two benchmarks gained about $1 a barrel on Wednesday. Brent posted a monthly gain of about 14% in September, its biggest since July, while WTI recorded a monthly gain of about 5%. Sugandha Sachdeva, founder of SS Wealth Street, a New Delhi-based research firm, said: "The near-term outlook for oil remains bearish, with the recovery in Gulf shipments, the resumption of Saudi exports via Yanbu and the rise in U.S. inventories easing supply concerns." Reuters reported on Tuesday that Saudi Arabia had resumed loading oil onto tankers from Yanbu after the East-West pipeline restarted. Meanwhile,

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Oil prices fall as Middle East exports recover

Oil prices fell 1% on Thursday as a recovery in Middle East crude exports and a surprise rise in U.S. inventories eased supply concerns, while investors assessed the latest diplomatic efforts between the United States and Iran to end the conflict in the Middle East.

Both crudes retreat after September gains

By 04:20 GMT, Brent crude futures had fallen 1.1% to $96.92 a barrel, while U.S. West Texas Intermediate crude dropped 1.4% to $89.18 a barrel.

The two benchmarks had risen by about $1 a barrel on Wednesday. Brent posted a monthly gain of about 14% in September, its biggest since July, while West Texas Intermediate recorded a monthly gain of about 5%.

U.S. inventories exceed forecasts

The U.S. Energy Information Administration said crude inventories rose by 922,000 barrels to 427.3 million barrels in the week ended September 25, compared with analysts' expectations for a 264,000-barrel decline.

Saudi Arabia resumed loading oil onto tankers from Yanbu after the East-West pipeline restarted, supporting the recovery in shipments from the Gulf region.

The near-term outlook for oil remains bearish, with the recovery in Gulf shipments, the resumption of Saudi exports via Yanbu and the rise in U.S. inventories easing supply concerns

Sugandha Sachdeva, founder of SS Wealth Street

Diplomacy narrows the risk premium

Iran said on Wednesday that it had received a U.S. response to its latest proposals to revive a ceasefire agreement in the Gulf region. U.S. President Donald Trump denied reports that he was prepared to ease sanctions on Iran and release frozen Iranian funds in exchange for "concrete" steps by Tehran regarding its nuclear program.

Sachdeva said: "The resumption of diplomatic engagement between the United States and Iran could reduce the geopolitical risk premium, but a major breakthrough remains uncertain."

Gulf exports and the OPEC+ decision

Goldman Sachs estimated in a note on Tuesday that oil exports from Gulf countries, including exports from tankers sailing with their transponders switched off, had recovered to 23.3 million barrels per day in the past week, in line with the 2025 average, with exports doubling in September.

Two informed sources said the OPEC+ alliance was likely to keep its oil production targets unchanged for November at its meeting on Sunday.

Assets and currencies in this story

  • BRENT
  • WTI
  • USD

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