Oil gains after Trump denies he is reportedly willing to ease Iran sanctions
USO•Oil rose after Trump denied he was reportedly willing to ease sanctions on Iran. Brent’s December contract gained 19 cents to $96.35 a barrel, while WTI rose 25 cents to $89.63.
1. Oil prices rise
Oil prices rose on Wednesday after Trump denied he was reportedly willing to ease sanctions on Iran, while Qatar pushed for peace talks. Brent’s November contract, which expires Wednesday, gained 84 cents to $103.43 a barrel; the December contract rose 19 cents to $96.35, and WTI gained 25 cents to $89.63.
2. Supply and export concerns
Brent was on track for a roughly 14% monthly gain, while WTI was on course for a 4% rise. The spread between the benchmarks widened to its highest in four months as traders watched potential US diesel export restrictions; Trump is considering allowing sales of red-dyed diesel instead of an export ban.
3. Regional flows recover
Middle Eastern crude exports rebounded to 16.328 million barrels per day in September, their highest since the Iran war began on February 28. Saudi Arabia resumed tanker loadings from Yanbu after restarting its East-West Pipeline, while oil shipments through the Strait of Hormuz were at their highest since February.
