Brent Crude Nears $99 as Gulf Supply Risks Ease

Brent crude was quoted at $99.27 a barrel at 6 a.m. Eastern on Tuesday, Sept. 22, down $2.34 from the previous morning. The international benchmark was still nearly 49% higher than a year earlier.

That was a snapshot, not a closing price. Oil futures trade throughout market hours, so quotes can shift quickly as traders respond to news about supply and demand.

The decline came as two developments raised the prospect of more oil reaching markets. Reuters reported that Iran said it could reopen the Strait of Hormuz within seven days if the United States eased military pressure and lifted its blockade on Iranian ports. The offer was conditional, not an agreement.

Saudi Arabia also restarted its East-West Pipeline, according to sources cited by Reuters. The route carries crude to the Red Sea port of Yanbu, offering a path for exports that avoids the Strait of Hormuz. The sources said shipments from Yanbu could resume Tuesday.

The strait remains a major source of uncertainty. Before the war with Iran, about one-fifth of global oil supply moved through the waterway, Reuters reported. Any lasting disruption could keep crude prices elevated even when other routes reopen.

Brent is the main global oil benchmark; West Texas Intermediate, or WTI, is the leading U.S. reference price. The contracts can move differently because they reflect different supply conditions. On Tuesday, the October WTI contract settled at $94.99 a barrel, down $1.19, Reuters reported.

Crude prices influence fuel costs, but a move in oil does not translate one-for-one to the pump. Refining, transport, taxes and retailer margins also shape what drivers pay.

Traders will watch whether Saudi shipments from Yanbu actually resume and whether Iran’s proposal leads to a change in shipping through Hormuz. Until those flows are clearer, headlines about the conflict can keep prices volatile.