Brent crude slipped toward $97 per barrel on Thursday, erasing gains from the prior session amid signs of improving energy flows from the Middle East, despite the continued deadlock in US-Iran negotiations. Crude exports from the region are nearing pre-war levels, with estimates suggesting shipments through the Strait of Hormuz have reached 13.2 million barrels per day, while Saudi Arabia has restored half of the capacity of its East-West pipeline.
Still, markets remain wary about how durable this recovery will be without a lasting agreement to end the Iran war, as both Tehran and Washington assert they have full control over the Hormuz passage. Meanwhile, Iranian government spokesperson Fatemeh Mohajerani said Tehran has received a US proposal regarding the reopening of the strategic waterway. Elsewhere, OPEC+ is expected to keep its November output quotas unchanged at its meeting this weekend.
