Oil prices have risen due to stalled negotiations between the United States and Iran, alongside tight fuel markets, which are outweighing the signs of recovering crude supplies from the Middle East. Brent crude futures for November, set to expire today, increased by 0.6% to $103.16 per barrel. The more active December contract saw a rise of 94 cents, reaching $97.10. Meanwhile, U.S. West Texas Intermediate (WTI) crude experienced a 0.9% increase, reaching $90.20 per barrel.
Brent crude is on track for a monthly gain of approximately 14%, while WTI is expected to see an increase of around 4%. The market continues to focus on diplomatic efforts between Washington and Tehran, which are aimed at resolving ongoing conflicts. Despite these efforts, progress remains uncertain. Qatar has expressed optimism that continued diplomacy could lead to advancements, but U.S. President Donald Trump has dismissed reports suggesting that Washington might consider easing sanctions or releasing frozen Iranian funds in exchange for Iran’s commitments regarding its nuclear program.
In the meantime, oil supplies from the Gulf region are showing signs of recovery. Saudi Arabia has resumed tanker loadings at the Red Sea port of Yanbu, following the restart of its East-West Pipeline. Despite this recovery, analysts caution that persistent fuel shortages and high shipping costs may continue to keep energy markets under pressure.
Further adding to market uncertainty, U.S. crude and gasoline inventories experienced an increase last week, while distillate stocks saw a decline. These fluctuations contribute to the ongoing volatility in fuel supplies and market conditions.