WTI Crude Surpasses $100 as Global Supply Shortfall Deepens

The price of West Texas Intermediate (WTI) crude oil has surpassed $100 for the first time since May, reaching $100.10 intraday before settling back to $99.35 for a $3.30 gain.

This surge comes as global supply is forecast to fall 4.3 million barrels per day in 2026, with 8.3 million barrels per day of Gulf output still shut in due to ongoing hostilities and maritime disruptions.

The International Energy Agency (IEA) has downgraded its world oil demand estimate for 2026 by 1.6 million barrels per day, citing the closure of the Strait of Hormuz and elevated fuel prices as key factors.

This shift in supply and demand dynamics has led to a market deficit of roughly 2.7 million barrels per day, with Brent crude reaching $105.20 a barrel, up $37.30 from last year's levels.