Brent climbs. The benchmark crude surged 1.3% to $105.12 per barrel in early Asian trade, while WTI slipped 0.3% to $94.77, reflecting supply‑tightening sentiment fueled by mounting geopolitical headwinds.
The International Energy Agency reported a 1.9‑million‑barrel drawdown in global crude inventories, the steepest decline since 2015, while the US Energy Information Administration hinted at an 11.1‑million‑barrel fall, the largest weekly drop on record.
In the Gulf, a projectile struck the Singapore‑flagged container ship GFS Pride as it crossed the Strait of Hormuz, setting it ablaze and forcing a crew evacuation before the vessel sank, the Singapore Maritime and Port Authority said. A second freighter, GFS Giselle, sustained hull damage but reached a safe anchorage, and no injuries were reported. The bulk carrier Cape Dao sank after a September 23 attack that killed one crew member, according to the International Maritime Organisation. Meanwhile, Tehran‑backed Houthis continued missile and drone strikes on Saudi infrastructure, and Russian officials confirmed Ukrainian drones damaged refineries in Saratov and Ryazan, with the latter processing 400,000 barrels per day.
Oil‑sector stocks pushed up 2.5% on the day, with majors like Exxon Mobil and Chevron reporting Q3 earnings that beat consensus by 8% and 10% respectively, and analysts noting that Brent’s 70% YTD rally outpaces the 25% average for the sector.
Traders will watch Thursday’s API inventory release and Friday’s IEA forecast for further clues; if the drawdown persists, prices could test the $110 threshold before geopolitical tensions ease.