G7 Steps in to Stabilize Oil Markets Amid US-Iran Tensions

Oil prices fluctuated on Friday as traders weighed the impact of US-Iran tensions against an increase in crude flows. Despite earlier losses, crude contracts turned higher due to improved Middle East oil exports and a decision by the Group of Seven countries to release emergency crude stocks.

The move by G7 nations aims to help bring global prices under control, particularly for diesel fuel. The group agreed to immediately release up to 100 million barrels of emergency crude stocks over four months under the coordination of the International Energy Agency.

However, the decision comes after a week of losses for Brent and WTI crude contracts. Despite Friday's rebound, both were headed for a weekly loss. Brent had shed 1.5% for the week, while WTI had fallen 1.2%. Earlier in the week, both contracts posted significant gains.

The US and Iran remain at odds over control of the Strait of Hormuz, with tensions running high. On Thursday, the Wall Street Journal reported that Washington was considering deploying another aircraft carrier group and additional troops to the Middle East by the end of November.