Oil prices rose slightly on Tuesday, October 6, as security concerns in the Middle East maintained a geopolitical risk premium in the market, even as steady oil exports from the region and the G7 countries’ decision to begin an emergency release of reserves eased concerns about supply disruptions. Reuters reports, UNN writes.
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Brent crude futures rose 27 cents, or 0.3%, to $100.59 a barrel, while U.S. West Texas Intermediate crude futures gained 30 cents, or 0.3%, to $89.73 a barrel.
Shipping data indicate that oil exports from the region actually exceeded pre-war levels on several days at the end of September. Alternative routes and logistical adjustments have, to some extent, allowed producers to continue transporting oil despite disruptions around the Strait of Hormuz
According to her, it is still too early to speak of a complete normalization of supplies. New attacks on tankers have occurred in the waters of the Strait of Hormuz, and the number of such incidents has increased in recent days.
According to the data, in September, oil flows from the Persian Gulf countries, excluding Iran, rose to more than 81% of pre-war levels. The increase was driven, in particular, by the recovery of Saudi Arabia’s exports despite attacks on the kingdom’s oil infrastructure and intensified attacks by Iran-backed forces on regional shipping. At the same time, Iran’s exports fell to zero due to the U.S. blockade.
Further easing supply concerns, the G7 countries agreed on Friday to release 100 million barrels of diesel fuel and crude oil from strategic reserves, and also pledged to refrain from imposing restrictions on energy exports after pressure from U.S. President Donald Trump.
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