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Oil prices stay near $100 a barrel as supply risks persist

Crude flows from the Middle East have nearly recovered to pre-US-Iran attack levels, but prices remain about 40% above the conflict’s start, with global inventories at their lowest in five years.

Reported · Written up by our desk · Energy

Oil has remained stuck near $100 a barrel despite signs that Middle East crude supply has almost returned to levels seen before the US attack on Iran, according to LiveMint Markets citing Bloomberg. The outlet said global prices are still above $100, about 40% higher than when the conflict began, and the elevated levels are adding shock waves to the global economy.

LiveMint Markets reported that efforts to cool prices have not worked, including a Friday announcement that the Group of Seven and partners would release as much as 100 million barrels of emergency oil and diesel stocks. Traders still fear unresolved war risks, including the potential for renewed conflict as the US deploys an additional aircraft carrier and more troops to the Persian Gulf.

The story also points to risks in the current stalemate, including Iran attacking some ships as it seeks to control the Strait of Hormuz. At the same time, global oil inventories are heavily depleted and are at their lowest point in five years, helping keep prices elevated.

LiveMint Markets also cited Russia’s war with Ukraine as part of the broader backdrop, saying it has blocked the continuation of some supply.

Latest closeWTI crude $91.26 ▼1.7%

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