Middle East Oil Exports Rebound Amid Saudi Pipeline Restoration

Oil prices steadied after a big drop as signs emerged that Middle East exports have recovered to near pre-war levels. Saudi Arabia's decision to resume flows through its East-West pipeline has helped boost supply, with exports reaching 17.5 million barrels per day, just 2% shy of pre-war levels.

West Texas Intermediate slipped towards $89 a barrel after falling by 3.5% in the previous session. Brent crude settled near $103 as JPMorgan analysts pointed to rising Middle East supply. However, product exports such as diesel and gasoline remain at just 58% of pre-war levels.

The US will release up to 40 million barrels from emergency reserves, a move aimed at addressing surging fuel prices ahead of the midterm elections. The coordinated drawdown of global reserves since the war began has seen the nation contribute 172 million barrels. Meanwhile, key OPEC+ members are expected to stick with their plan to hold production quotas steady for next month.