Oil Prices Dip as G7 Releases Stocks and Middle East Exports Rise
Oil prices dropped on Monday as rising crude exports from the Middle East and the G7's decision to release oil stocks eased supply concerns. Brent crude futures fell 35 cents, or 0.34%, to $101.90 a barrel, while US West Texas Intermediate crude declined 62 cents, or 0.68%, to $90.49 a barrel.
The G7 countries agreed on Friday to release 100 million barrels of diesel and crude from emergency reserves, adding to the supply increase from Middle Eastern exports, which have risen above pre-war levels in recent days. Analysts note that this combination is tempering oil prices despite ongoing risks to Gulf energy infrastructure.
The Houthis claimed they launched ballistic missiles and drones at Saudi Aramco sites in Riyadh and Khurais, though there was no confirmation from Saudi Arabia. Meanwhile, Yemen's Saudi-backed government announced a major military campaign to recapture areas controlled by the Houthis. Aramco also 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, which has thrown future production estimates into uncertainty. In Europe, Ukrainian President Volodymyr Zelenskiy stated that Ukraine will intensify attacks on Russian oil refineries.