Oil Prices Slip as Middle East Exports Recover

Oil prices took a hit on Tuesday, declining by 2.5% as investors focused on signs of recovering crude exports from the Middle East.

The recovery was attributed to Saudi Arabia's resumption of oil tanker loadings from its Red Sea port of Yanbu after restarting operations on the East-West Pipeline, according to trade sources and shipping data.

Crude oil exports from Middle East producers rebounded in September to 16.328 million barrels per day, the highest since the US-Israeli war on Iran started in late February, data from Kpler showed on Monday.

The development reduces Iran's bargaining power as US and Iranian negotiations continue, with both sides seeking an off-ramp, according to Dennis Kissler, senior vice president of trading at BOK Financial.