Middle East Disruptions Fuel Crude Oil Price Surge

Crude oil prices continued their upward trend on Friday as disruptions in the Middle East kept supply risks top of mind. Brent crude remained above $93 a barrel, while West Texas Intermediate traded near $87.

The ongoing conflict in the region has resulted in shipping through the Strait of Hormuz operating below normal levels, with only seven commodity ships passing through on Thursday compared to 14 a day earlier.

This has led to concerns about supply shortages, which are driving up prices. Brent crude futures have risen more than 7% over the past five sessions, while WTI has advanced over 8%.

The increasing production by OPEC+ in September is expected to add further supply to the market, but this may be limited by ongoing disruptions in the Middle East.