Crude Futures Steady Amid Supply Threats and G7 Oil Release
Crude oil futures saw minimal movement after recovering from earlier losses, as ongoing supply threats countered the impact of the G7's release of oil reserves and the gradual recovery in traffic. The market remains cautious amid persistent risks, particularly in the Strait of Hormuz, where recent attacks have heightened concerns over potential disruptions.
Yemen's Houthi forces escalated tensions by launching fresh attacks on Saudi Arabia's oil infrastructure, contributing to market volatility. Meanwhile, Iran's foreign minister emphasized that there is no military solution to the conflict with the US, further complicating efforts to stabilize the region and secure the Strait of Hormuz.
Additional pressures include the shutdown of Saudi Arabia's East-West pipeline following weekend attacks and an operational upset at ExxonMobil's Beaumont refinery in Texas. Despite these challenges, US President Donald Trump ruled out a diesel export ban, following the G7's agreement to release 100 million barrels of diesel and crude, which aims to alleviate some market tensions.