Oil Market Remains Tight Amid Disruptions and Geopolitical Tensions

New Delhi [India], September 25 - The global oil market remains under pressure due to tight physical supplies, geopolitical developments, and changing demand. Pulkit Agarwal, Global Director of India Content at S&P Global Energy, said that continued disruptions in oil supplies from producing countries could further widen the existing supply deficit.

The supply-side challenges have been affecting global oil and gas markets for more than six months, with oil prices moving through several peaks and declines as markets assessed when ongoing conflicts could end and normal oil flows resume.

Agarwal noted that some oil is still flowing through the Strait of Hormuz, which has helped limit a sharper rise in prices. However, he said the global oil market remains tight, with physical oil supplies remaining particularly tight in refined products like diesel.