Oil Prices Surge Amid Stalled US-Iran Talks and Tight Fuel Markets

Oil prices rose by approximately $1 per barrel on Wednesday due to stalled US-Iran peace talks and tightening US fuel markets. The Brent November futures contract, which expires today, settled up 91 cents, or 0.9%, at $103.50 a barrel. The more active December contract was up $1.87, or 1.9%, at $98.03.

The spread between the two crude oil benchmarks also stretched to its widest in four months as traders monitored potential plans by the US to restrict diesel exports. This could create an oversupply in the US market and lead refiners there to process less crude, putting further pressure on prices.

Gulf oil exports have recovered to 23.3 million barrels per day over the last week, in line with their 2025 average. However, persistent product shortages and elevated freight costs are likely to keep the broader energy market tight, according to analysts at Japanese bank MUFG.