Oil Breaks $100 as Saudi Cuts Output and Reliance Buys 6M Barrels
Oil topped $100 per barrel on March 9 as Saudi Arabia led production cuts with the UAE, Kuwait and Iraq following, while the G7 has not approved any emergency stock releases. India’s Reliance Industries secured 6 million barrels of Russian crude for March deliveries with Middle East tensions rising.
1. Oil Price Surge Drives Weekly Gains
Crude topped $100 per barrel on March 9, and West Texas Intermediate logged its largest weekly gain since its 1983 launch, driven by heightened Middle East tensions and tightening supply.
2. OPEC+ Producers Trim Output
Saudi Arabia began cutting production, joined by the UAE, Kuwait and Iraq, as storage tanks fill due to near-blockage at the Strait of Hormuz, further restricting global supply.
3. G7 Emergency Reserve Decision Pending
Group of Seven finance ministers have yet to approve the release of emergency oil stocks, leaving markets uncertain about potential relief for tightening supplies.
4. Reliance’s Russian Crude Purchase
India’s Reliance Industries bought 6 million barrels of Russian oil for March delivery, signaling a shift in procurement strategies as Middle East disruptions persist.