Oil Prices Today: Brent crude oil prices extended gains on Friday, October 2, hovering near $103 a barrel as renewed US-Iran tensions and concerns over disruptions to Middle East energy supplies kept oil markets on edge.
Brent crude was trading 0.44% higher at $102.76 a barrel at last check, after surging more than 4% in the previous session.
The latest gains came after a report that the US is sending a third aircraft carrier strike group to the Middle East, along with Marine Corps ships and up to 10,000 additional troops. The forces are expected to arrive by the end of November, according to US officials cited by the Wall Street Journal.
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Brent crude, the international benchmark, jumped 4.4% to settle at $102.31 a barrel on October 1, while US West Texas Intermediate (WTI) futures climbed 2.7% to $92.87 a barrel.
The deployment of additional US military assets has added to concerns that the conflict with Iran could escalate, potentially threatening crude and fuel supplies from the Middle East. The USS Theodore Roosevelt left San Diego on a scheduled deployment on Sunday, while the USS George H.W. Bush and USS George Washington are already stationed in the region, according to the Wall Street Journal.
Oil Supply Risks Remain
The latest rise in oil prices comes even as crude flows from the Middle East have largely recovered to pre-war levels. However, the recovery remains fragile, with at least three tankers reportedly coming under attack this week while attempting to transit the Strait of Hormuz, according to maritime security agencies monitoring the region.
Fuel shipments from the Middle East also remain constrained, adding another layer of uncertainty for global energy markets.
Global Fuel Supply Under Pressure
The disruption is not limited to the Middle East. Ukrainian strikes on Russian refineries have forced Moscow to restrict diesel exports, while attacks by Iran and its Houthi allies have added to pressure on refinery and fuel infrastructure in the region.
US diesel prices hit record highs last month and remained elevated at an average of $6.40 per gallon on Thursday. US President Donald Trump has also said he is considering a diesel export ban, although he has more recently appeared to step back from the proposal.
China Cuts Fuel Exports
Meanwhile, Chinese refiners have canceled several gasoline and jet fuel export shipments planned for October, Reuters reported, citing unnamed sources.
The move could indicate that Beijing is looking to preserve domestic fuel supplies amid heightened uncertainty in global energy markets.
With geopolitical tensions remaining elevated and key supply routes such as the Strait of Hormuz facing fresh risks, traders are closely watching developments in the US-Iran conflict and their potential impact on global crude and fuel supplies.
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