US Oil and Gas Production Rises Amid Ongoing Global Conflict Uncertainty
US oil and gas production in key states Texas, Louisiana, and New Mexico rose in Q3 2026, according to a recent Dallas Fed survey. However, market uncertainty persists due to ongoing global conflicts, particularly the Iran war, which has disrupted energy supplies and driven up prices.
The rise in production comes as US oil prices touch $100 a barrel, with crude futures averaging around $86 per barrel in Q3 2026, according to LSEG. The Iranian conflict has caused volatility, with prices swinging from a low of $67 in early July to a high of $107 in mid-September.
Respondents to the Dallas Fed survey expressed concerns about market volatility and uncertainty, with one respondent stating, 'We are getting to the point in this global conflict and its effect on commodity markets that it is tough to predict what the remainder of 2026 and also 2027 will potentially look like.'