Global oil prices rose on Friday as fresh concerns over supply disruptions in the Saudi Arabia and continued restrictions in tanker movement through the Strait of Hormuz reignited market anxiety.
Benchmark crude contracts recovered slightly but were still on track for a sharp weekly decline, as easing geopolitical tensions linked to a fragile ceasefire between the United States and Iran reduced earlier risk premiums.
Brent crude rose 58 cents, or 0.60%, to $96.50 per barrel as of 0338 GMT, while West Texas Intermediate gained 49 cents, or 0.50%, to $98.36 per barrel.
Despite Friday’s uptick, both benchmarks were still set to record an 11% weekly loss—the steepest decline since June 2025—driven by shifting expectations around supply stability and diplomatic developments in the Middle East.
Market sentiment was shaken after reports that attacks on Saudi energy infrastructure had reduced production capacity by around 600,000 barrels per day, with an additional 700,000 barrels per day affected through the East-West Pipeline, according to Saudi state media.
The developments have raised fears of tighter global supply conditions, particularly as tanker movement through the Strait of Hormuz remains limited.
Analysts at ANZ said the renewed disruption in Saudi output has intensified concerns over potential further supply shocks, adding volatility to an already fragile oil market.
Meanwhile, Israel’s indication that it may open direct diplomatic talks with Lebanon added a cautiously optimistic tone to broader geopolitical developments, even as energy markets remain highly sensitive to any escalation or breakthrough.
Traders continue to monitor the balance between easing diplomatic tensions and persistent infrastructure risks across key oil-producing regions, with prices expected to remain volatile in the near term.
