Oil Prices Find Support Amid Disruptions in Middle East

Ongoing disruptions in the Strait of Hormuz and the Red Sea have supported oil prices near $90 per barrel, despite Brent's potential for an 8% weekly loss. The reality of these disruptions has halted the sell-off from earlier this week, with Saudi Arabia seeking to organize a maritime coalition against the Houthis. The Iranian Revolutionary Guard Corps (IRGC) claims to have turned around several tankers in the Strait of Hormuz, but this could also suggest that shippers won't give up on exiting the Strait anytime soon.

In another development, BP has launched a process to sell its UK North Sea oil and gas business due to high taxes and a worsening investment climate. The company operates 115,000 barrels per day (b/d) of output in the basin, marking a historic retreat from an area where it has been present for over six decades.