WTI Stabilizes Near $100 Amid US Crude Build, Middle East Tensions

Oil prices have stabilized near $100 as US crude inventories posted an unexpected build. The data from API showed stockpiles rose by 7.14 million barrels in the week to September 11, contrary to a 300,000-barrel decline previously expected and a 1.8 million-barrel fall forecasted.

The surprise increase came as markets weighed Middle East tensions alongside reports that Saudi Arabia suspended oil loadings at its Yanbu port after shutting the East-West pipeline following an attack by Yemen’s Iran-aligned Houthis. The pipeline has been used to reroute around 4 million barrels per day, or about 4% of global supply, to the Red Sea.

Rabobank pointed to falling global crude inventories and Strategic Petroleum Reserves nearing ‘worrisome levels’. While derivative traders are advised to view the recent drop toward $100.00 as a temporary buying opportunity rather than a structural trend reversal, many experts warn of severe geopolitical risks in the Middle East.

Some officials claim repairs will only take days, but market analysts suggest hedging for a longer disruption that could push WTI past its immediate resistance at $102.75. US Strategic Petroleum Reserves are currently hovering near 40-year lows at roughly 370 million barrels, leaving no safety cushion for global supply shocks.