ع
Reuters reported that oil prices declined around 1 percent on September 18, 2026, extending losses for a third consecutive session while both main benchmarks remained above the $100 mark. Brent crude futures fell $1.01 to $103.77 a barrel by 0020 GMT and West Texas Intermediate futures dropped $1.03 to $100.88 a barrel. Both contracts had closed down about 1 percent the previous day. Markets largely shrugged off concerns about fresh strikes between Saudi Arabia and Yemen’s Iran-backed Houthis that expanded the regional war front.
The news agency noted that oil had climbed to around four-month highs earlier in the week after crude loadings were suspended at Saudi Arabia’s Yanbu Red Sea export hub and some deliveries to Europe were cancelled. Riyadh’s East-West pipeline sustained damage in an attack the prior week, prompting the disruptions. Saudi authorities have not detailed a full resumption timeline but moves to mitigate the shortfall have calmed trader sentiment.
Bloomberg reported that Saudi Arabia aims to restore about half the capacity of the East-West pipeline within days following the incident that halted flows to the Red Sea coast. The kingdom has additionally ramped up offerings of crude to Asian refiners via ship-to-ship transfers off Oman’s Sohar port. These actions have offset part of the supply gap and helped push prices lower despite ongoing geopolitical risks. A prolonged pipeline closure could have removed as much as 4 percent of global oil supply according to trader estimates relayed by Reuters.
Tamas Varga, an analyst at PVM Oil Associates, explained to Reuters that easing supply worries stemmed from the Saudi export adjustments combined with higher petroleum product inventories in the United States, Singapore and Europe. Chinese customs data indicated that refined petroleum product exports climbed 12.7 percent year-on-year in August with jet fuel shipments reaching a record high. The increases have added to the downward pressure on crude values and placed Brent on track for its first weekly loss in three weeks.
Traders have shifted focus toward upcoming diplomatic engagements including next week’s United Nations General Assembly sessions where Gulf states and potential US-Iran talks are scheduled. Reuters assessments found that these developments could shape the broader conflict and influence longer-term oil flows through contested areas such as the Strait of Hormuz. Oil continues to move through the strait but at levels below those seen before the latest escalation.
The pullback in oil has supported broader market sentiment with Asian equities advancing as inflation pressures from energy costs moderated. Bloomberg data placed gains in MSCI’s regional gauge at 0.5 percent with South Korea’s Kospi index outperforming. Further updates on the Saudi pipeline repair and Chinese export trends in September will remain central to price direction in the coming sessions.
