Oil Prices Dip as G7 Releases Stocks and Middle East Exports Rise
Oil prices declined on Monday, October 5, 2026, as rising crude exports from the Middle East and the Group of Seven's decision to release emergency oil stocks increased global supplies. Brent crude futures dropped by US$0.35, or 0.3 percent, to US$101.90 a barrel, while US West Texas Intermediate (WTI) crude fell by US$0.62, or 0.7 percent, to US$90.49 a barrel.
The G7's agreement on October 2 to release 100 million barrels of diesel and crude from strategic reserves contributed to the price drop. This move, alongside rising Middle Eastern crude exports that exceeded pre-war levels in the final week of September, eased supply concerns despite ongoing conflicts in the region.
Tim Waterer, chief analyst at KCM Trade, noted that the G7's decision and the return of Saudi export volumes to pre-war levels are subduing prices. However, he cautioned that risks of further damage to Gulf energy infrastructure remain. The Houthi militia claimed attacks on Saudi Aramco sites in Riyadh and Khurais, though Saudi Arabia has not confirmed these incidents.
Additionally, Saudi Aramco unexpectedly cut November crude oil prices for Asia to six-year lows. Opec+ delayed a review of 2027 oil output quotas due to disruptions from the US-Israeli war on Iran, while Ukraine's President Volodymyr Zelensky announced plans to intensify attacks on Russian oil refineries.