Dubai – Business News Report|| Crude oil prices declined at the close of trading on Friday, recording a weekly loss. This movement occurred while markets evaluated Saudi Arabia’s supply situation alongside diplomatic efforts to prevent the conflict in the Middle East from expanding further.
Weekly Losses and Price Adjustments
Brent crude futures dropped 95 cents, or 0.91 percent, to settle at $103.87 per barrel. This marked the first weekly loss in three weeks. Meanwhile, West Texas Intermediate (WTI) crude fell by $1.61, or 1.58 percent, closing at $100.30 per barrel.
Intraday Volatility and Recovery
During the session, Brent reached an intraday low of $101.92 per barrel. WTI also touched its lowest point at $99.39 per barrel before both benchmarks recovered some losses to narrow their declines for the day.
Saudi Supply Disruptions and Repairs
Markets largely ignored new supply threats despite exchanges between Saudi Arabia and Iran-aligned Houthis across borders on Thursday. Earlier this week, prices surged to four-month highs after reports indicated suspended crude shipments at Jeddah Islamic Port on the Red Sea. Riyadh canceled some cargoes bound for Europe following damage to the East-West Pipeline from last week’s attack.
Efforts to Restore Flow Capacity
Prices retreated later when reports emerged that Saudi Arabia aims to restore half of the pipeline’s capacity within days. The kingdom is also offering additional crude cargoes to Asian refiners via ship-to-ship transfers off the port of Sohar in Oman.
Market Expectations and Analyst Views
Sources provided varying estimates for the time required to resume normal flow operations. Despite these developments, oil prices remain above $100 per barrel. Analysts note that markets are waiting for clear signs of improved supply conditions before adjusting positions significantly.
Geopolitical Risks in the Strait of Hormuz
Transportation through the region remains hazardous. Official media reported on Friday that the Iranian Revolutionary Guard Navy stated a Togolese-flagged tanker was targeted while attempting to pass illegally through the Strait of Hormuz yesterday.
Diplomatic Stalemate Between US and Iran
No peace talks have been held between the United States and Iran since the collapse of the temporary agreement in June. This breakdown occurred just weeks after the deal was announced, leaving regional stability uncertain and supply chains vulnerable to sudden disruptions.
This story was produced in the newsroom from the disclosed sources named above.
