Oil Prices Dip as Recovering Gulf Exports Ease Supply Fears

Oil prices dipped by 1% on Thursday due to recovering crude exports from the Gulf and a surprise rise in US inventories, which eased supply concerns. Brent crude futures fell 1.1% to $96.92 a barrel by 0420 GMT, while US West Texas Intermediate crude dropped 1.4% to $89.18 a barrel.

The recovery of oil exports from the Gulf region, including Saudi Arabia's resumed tanker loadings from Yanbu, has reduced supply concerns. Goldman Sachs estimates that Gulf oil exports have recovered to 23.3 million barrels per day over the last week, in line with their 2025 average.

Renewed US-Iran diplomatic engagement is also being closely watched by investors, as it could further reduce the geopolitical risk premium. However, a breakthrough remains uncertain, according to Sugandha Sachdeva, founder of SS WealthStreet.