Oil steadies as investors focus on Middle East supply
USO•Brent fell 0.23% to $105.04 a barrel and U.S. West Texas Intermediate fell 0.36% to $92.24, while both contracts were headed for monthly gains. Investors weighed Middle East supply concerns against signs of recovering exports.
1. Prices and exports
Oil prices were steady as investors focused on possible Middle East supply disruption linked to the U.S.-Israeli war on Iran and signs of recovering crude exports. Brent futures fell 24 cents to $105.04 a barrel, while WTI fell 36 cents to $92.24. Brent and WTI were headed for monthly gains of around 16% and 8%, respectively.
2. Supply and diplomacy
Crude exports from major Middle Eastern producers rose to 12.8 million barrels a day in September, the highest since February, preliminary figures showed. A market analyst said some of the increased volumes relied on less efficient and more costly ship-to-ship transfers. U.S. and Iranian officials separately spoke with mediators about ending the war, while President Donald Trump denied offering Iran anything to end it. U.S. crude and gasoline inventories were expected to have fallen last week, while distillate stockpiles were likely unchanged.
