Crude Oil Rebounds Past $100
Crude oil trimmed losses and crawled back to above the $100 per barrel threshold on Friday, remaining close to the four-month high of $106 from earlier in the week on persistent setbacks to supply. US President Trump noted the possibility that the US could re-escalate attacks against Iran next week after recent attempts of dialogue between Tehran, Washington, and GCC states have not improved tanker flows from the Strait of Hormuz. Saudi Arabia's East-West pipeline remained shut off after being struck by Irani forces in Iraq. The suspension prevented 7 million barrels per day being allocated to the Red Sea, an alternative to halted tankers in the Persian Gulf due to blockades. The prolonged halt of tanker flows from the region forced major OPEC members to cut oil production, with Saudi output recently dropping to its lowest since 1990. Dwindling stockpiles of oil in China drove the major importer to raise orders in August, while the US SPR stands at a near record low.
Crude oil trimmed losses and crawled back to above the $100 per barrel threshold on Friday, remaining close to the four-month high of $106 from earlier in the week on persistent setbacks to supply. US President Trump noted the possibility that the US could re-escalate attacks against Iran next week after recent attempts of dialogue between Tehran, Washington, and GCC states have not improved tanker flows from the Strait of Hormuz. Saudi Arabia's East-West pipeline remained shut off after being struck by Irani forces in Iraq.
The suspension prevented 7 million barrels per day being allocated to the Red Sea, an alternative to halted tankers in the Persian Gulf due to blockades. The prolonged halt of tanker flows from the region forced major OPEC members to cut oil production, with Saudi output recently dropping to its lowest since 1990. Dwindling stockpiles of oil in China drove the major importer to raise orders in August, while the US SPR stands at a near record low.