SINGAPORE / RankWire.AI / – Oil prices hovered above the $100 mark on Friday as ongoing supply disruptions kept the worldwide crude oil market constrained. Brent crude futures decreased by 1.9% to reach $105.62 per barrel by 0555 GMT, while U.S. West Texas Intermediate crude fell 1.4% to $101.10. Despite Friday’s decline, both benchmarks remained significantly higher over the week. Since early August, Brent has experienced substantial gains due to disruptions along key Middle East shipping routes, which have curtailed the available supply.
Over the week, Brent and WTI increased nearly 13%, marking their most robust weekly rise since mid-July. Both benchmarks advanced more than 6% on Thursday, with Brent ending the session at $107.63 and WTI at $102.48. These price movements followed renewed attacks impacting regional oil infrastructure and shipping corridors. The continued restrictions through the Strait of Hormuz have limited the movement of crude from major Gulf producers, adding to market tightness.
The risks to shipping extended into the Red Sea after Houthi forces captured Yemen’s port of Mocha on Thursday. This event added pressure on another vital trade route used for energy shipments. Recent days have also seen an increase in tanker attacks around Gulf waters. The Strait of Hormuz remains a crucial passage for global crude and fuel exports, yet oil flows through it are still below pre-conflict levels.
Disruptions in supply deepen global oil market tightness
According to the International Energy Agency, Gulf output of 8.3 million barrels per day was still offline in July. Simultaneously, global oil inventories decreased by 69 million barrels during that month. Currently, total inventories are roughly 410 million barrels below levels recorded when the conflict began. The agency forecasts an average decline of 4.3 million barrels per day in global oil supply for 2026 and has coordinated emergency oil reserve releases amid ongoing disruptions.
On September 6, OPEC+ members agreed to keep their September production quotas unchanged for October. The participating countries—Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria, and Oman—made this decision after reviewing market conditions. Their latest consensus maintains October’s required production levels at September’s figures, emphasizing the importance of available crude supplies amidst shipping and infrastructure challenges that continue to influence market dynamics.
Brent and WTI prices remain elevated above critical thresholds
Rising crude prices have had ripple effects across fuel markets. Notably, U.S. national diesel prices surpassed $6 a gallon on Thursday for the first time. The combination of supply disruptions from the Middle East and decreased refinery capacity elsewhere has caused a scarcity of diesel, jet fuel, and other refined products. These rising energy costs are impacting transportation, manufacturing, and industries heavily reliant on petroleum-based fuels.
Brent’s movement above $100 started earlier in the week after remaining below that level for much of August. WTI crossed that threshold on Thursday for the first time since May. Despite a slight retreat on Friday, both benchmarks stayed above $100 during Asian trading and remain well above their early-August levels. As the second half of September unfolds, market participants continue to monitor crude supply, shipping conditions, and physical flows that influence trading behavior in the global oil market.