Brent Crude Nears $100 as OPEC+ Keeps Oil Output Unchanged Amid Iran War

OPEC+ has decided to keep its oil production policy unchanged for October, despite concerns over the Iran war disrupting crude exports through the Strait of Hormuz. The group's seven-member meeting was attended by countries including Saudi Arabia, Russia, Iraq, Kuwait, Algeria, Kazakhstan, and Oman.

The decision comes as Brent crude futures rose 76 cents to close at $96.28 a barrel on Friday, putting the global oil benchmark close to the $100-a-barrel level. The Iran conflict has increased concerns about oil supplies and shipments through the Strait of Hormuz, with US diesel prices reaching a record high.

Jorge Leon of Rystad Energy said that OPEC+ currently has very limited power over the physical oil market due to the Iran war's impact on oil flows. The group agreed to increase oil production for September, but this increase completed a phased rollback of a 1.65 million-barrel-per-day production cut that was first agreed in 2023.