Oil prices experienced a dip Friday as an Indian tanker cleared the Strait of Hormuz and the U.S. introduced measures to ease supply concerns. Despite this, prices remain on track for weekly gains due to persistent disruptions from the Middle East conflict.
Brent futures fell 0.9 percent to $99.54 a barrel, heading for an 8 percent weekly increase. U.S. West Texas Intermediate crude declined 1.7 percent to $94.09 a barrel, poised for a 4 percent weekly uptick.
An Indian-flagged tanker carrying gasoline for Africa successfully exited the Strait of Hormuz. Analysts suggest this dip is likely short-lived, with concerns over the conflict's duration and potential damage to oil infrastructure driving market anxiety.
The U.S. issued a 30-day license allowing countries to purchase Russian oil stranded at sea, a move aimed at stabilizing global energy markets. This measure affects approximately 100 million barrels of Russian crude. Separately, the U.S. Energy Department announced plans to release 172 million barrels from its Strategic Petroleum Reserve, coordinated with the International Energy Agency's release of 400 million barrels.
However, fears of prolonged conflict have resurfaced. Iran's Supreme Leader reiterated Iran's stance, threatening to keep the Strait of Hormuz closed. Reports indicate two fuel tankers in Iraqi waters were struck by explosives, with Iraq's oil ports halting operations. Goldman Sachs predicts Brent oil will average over $100 a barrel in March.