Brent Crude Falls Below $99 on Rising Saudi Exports and Diplomatic Progress

Oil prices took a significant hit on Wednesday as Brent crude fell below $99 per barrel. The sell-off was driven by rising Saudi crude exports, diplomatic progress between the US and Iran, and a larger-than-expected build in US crude inventories.

The restart of operations at Saudi Arabia's East-West pipeline and potential resumption of exports from the Yanbu terminal could gradually restore lost export flows, increasing global crude supplies in the coming weeks. The pipeline has a capacity of around 7 million barrels per day.

Despite the recent correction, oil prices remain more than 60% higher year-to-date. US natural gas prices continued to rise, with Henry Hub futures trading above $3/MMBtu, supported by lower production in the Lower 48 and forecasts for cooler temperatures across the Northeast.