Oil Prices Remain Volatile Amid Ongoing U.S.-Iran Tensions and Improved Supplies

The ongoing U.S.-Iran tensions have led to increased uncertainty around the Hormuz Strait, keeping oil prices volatile in the short-term.

However, physical supplies of both crude oils are improving, with satellite images showing that OPEC countries' crude oil supplies increased to 12.8 million bpd in September.

This increase was mainly attributed to increases in oil loadings from Saudi Arabia and UAE, resulting in higher-than-usual shipping rates due to the need for ship-to-ship transfers in the Oman Sea.