Oil Prices Hold Steady Amid Ongoing Middle East Tensions

Oil prices were relatively stable in early Asian trading on Thursday following a sharp monthly increase. Brent crude futures rose by 12 cents, or 0.1%, to $98.15 a barrel, while U.S. West Texas Intermediate (WTI) crude fell by 7 cents, or 0.1%, to $90.35 a barrel.

The previous session saw gains of about $1 a barrel, with Brent posting a monthly gain of around 14% in September, its biggest since July, and WTI rising by about 5% over the month.

Toshitaka Tazawa, an analyst at Fujitomi Securities, noted that while buying has continued amid supply concerns, selling pressure has also emerged as signs of a recovery in Middle East oil exports appear. He cited the resumption of Saudi oil exports from the Red Sea port of Yanbu as one of the key factors behind this shift.

Tazawa stated that a new catalyst, such as progress in negotiations to end the war between Washington and Tehran, would be needed for WTI to reach $88 a barrel. Qatar expressed hope on Tuesday that diplomatic efforts would lead to progress, but U.S. President Donald Trump denied reports of easing sanctions on Iran.