Oil Inventories Plunge as Middle East Supply Shock Deepens

Global oil markets are tightening as crude and product inventories fall sharply, with Middle East supply disruptions rapidly erasing the surplus seen at the outset of the Iran conflict. Futures traders in Oil – Brent Crude and Oil – US Crude are positioning around the prospect of a U.S.-Iran agreement that might reopen the Strait of Hormuz, yet physical balances point to a deeper deficit.

Over the past month, Brent has been relatively resilient, slipping about 1.2%, while U.S. crude has dropped roughly 12%, underscoring greater sensitivity of U.S. benchmarks to inventory draws and risk sentiment. Daily technical indicators currently flash a cautious Hold for Brent and Hold for WTI, suggesting traders are waiting for clearer signals on the duration and scale of the supply outage. Investors can explore more updates, prices, and analysis across global markets at Commodities.