Following last week's spike above $100 triggered by tanker strikes near Iraq, oil prices dipped slightly on Wednesday as U.S. crude stockpiles rose per API data. Iraq and the Kurdistan Regional Government agreed to resume exports, while Libya's production held steady despite a facility fire.
Oil prices faced downward pressure Wednesday morning after the American Petroleum Institute reported a build in U.S. crude inventories, impacting Brent and West Texas Intermediate benchmarks in commodities markets. This contrasted with recent volatility, including Brent briefly topping $100 a barrel on March 13 amid tanker attacks off southern Iraq and U.S. plans for a major Strategic Petroleum Reserve release.
On a positive note for supply, Iraq and the Kurdistan Regional Government finalized an agreement to restart oil exports, potentially alleviating some concerns. Libya's National Oil Corporation also affirmed ongoing production despite a recent facility fire.
Tensions persist with reports of Iran and U.S. military activities near the Strait of Hormuz, underscoring continued risks to global oil flows amid regional conflicts.
