Key facts
- Brent crude futures settled up 3.86% to $103.08 a barrel on Wednesday.
- West Texas Intermediate futures gained 1.81% to $92.16 a barrel.
- Iranian President Masoud Pezeshkian vowed never to surrender at the UN General Assembly.
- US crude inventories rose by 3 million barrels to 426.4 million barrels in the week ended September 18.
- Saudi Arabia resumed operations on its East-West Pipeline to the Red Sea.
Oil prices settled higher on Wednesday, with Brent crude futures rising by 3.86% to $103.08 a barrel and West Texas Intermediate futures gaining 1.81% to $92.16. The market evaluated Iranian President Masoud Pezeshkian's vow never to surrender, made during a speech at the UN General Assembly, a day after US President Donald Trump issued a threat against Iran.
Discussions during indirect talks included the potential reopening of the Strait of Hormuz and the lifting of a US naval blockade on Iran. Iran's security chief Mohsen Rezaei stated the Strait of Hormuz would not be reopened until Iran's conditions were met.
Prices were also pressured by increased supplies from the Middle East and hopes for a peace deal between Washington and Tehran. Saudi Arabia resumed operations on its East-West Pipeline to the Red Sea on Tuesday, following a shutdown due to drone attacks. US crude inventories rose by 3 million barrels in the week ended September 18, contrary to analyst expectations of a draw.