Crude Oil Prices Surge Amid Middle East Supply Restarts
Crude oil prices have surged in India as markets gauge efforts to restore disrupted Middle East supply flows. The benchmark price settled up 2.11% at ₹8,825 on assessing Saudi Arabia's plan to restart exports through its critical East-West pipeline.
The move aims to bypass the Strait of Hormuz and allow additional shipments amid persistent geopolitical risks. In a separate development, US President Donald Trump said American officials held a 'very productive' meeting with Iranian envoys, with further discussions planned.
The American Petroleum Institute reported a 1.8-million-barrel increase in US crude inventories, while gasoline and distillate stocks declined. The EIA data showed US crude inventories rising by 3 million barrels to 426.4 million barrels for the week ended September 18, against expectations.
Bank of America raised its second-half 2026 forecast to $95 per barrel from $83, citing prolonged geopolitical tensions, while maintaining an average 2027 forecast of around $80. OPEC lowered its 2026 global oil demand growth forecast to 380,000 barrels per day, marking its fifth consecutive downward revision.