Oil Prices Turn Lower as Supplies Through the Strait of Hormuz Recover

Global crude oil prices weakened during trading on Wednesday (October 21, 2026), reversing earlier gains driven by escalating geopolitical tensions in the Middle East. West Texas Intermediate (WTI) crude fell toward US$97 per barrel following reports that oil shipments through the Strait of Hormuz remain relatively robust. This has eased concerns regarding global energy supply disruptions, even as attacks on tankers and energy infrastructure continue in the region.

Security tensions have intensified following claims by Iran’s Revolutionary Guard that naval mines halted three tankers attempting to transit the waterway without Tehran’s authorization. The UK Maritime Trade Operations (UKMTO) also reported that a vessel was attacked near Oman. Meanwhile, Yemen’s Houthi group has claimed responsibility for attacks on Saudi Aramco facilities in Yanbu, the Shaybah oil field, and several airports in Saudi Arabia. However, U.S. Secretary of State Marco Rubio stated that oil shipments through the Strait of Hormuz are nearing pre-war levels. Data from Kpler and Vortexa also indicate an increase in Middle Eastern oil exports since the summer, tempering market fears of a potential supply shortage.

Separately, investors are awaiting official U.S. oil inventory reports, following the American Petroleum Institute’s (API) record of a 4.9-million-barrel decline in crude stocks last week. If confirmed by U.S. government data, this drop in inventories could provide support for prices. Nevertheless, the strong flow of oil shipments from the Middle East remains a factor curbing further price increases. Future oil price movements are expected to depend on security developments in the Strait of Hormuz, global supply conditions, and changes in U.S. oil inventories. Newsmaker Point of View

The decline in oil prices toward US$97 indicates that the market is beginning to focus more on actual oil supply conditions rather than solely on geopolitical threats. Although attacks on oil tankers continue to rise, the smooth flow of oil distribution through the Strait of Hormuz has eased concerns regarding a near-term supply shortage. (yds)

Source: Newsmaker.id