Global oil markets face a supply crunch as depleted inventories and Middle East infrastructure attacks push Brent crude above $105 and U.S. diesel to record highs.
WTI crude gains on a Saudi pipeline outage affecting 2.5 million barrels per day, falling commercial inventories, and fading strategic reserve buffers.
Brent crude rises above $105 as Middle East supply disruptions and Chinese demand return tighten the global oil balance.
Chevron CEO warns global oil supply buffers are largely depleted, leaving prices tilted higher, which may boost upstream profits but also increases geopolitical risk for the integrated company.
Nymex natural gas climbs after attacks on Saudi energy infrastructure and ships raise geopolitical supply concerns.
Chevron CEO Mike Wirth warns that global oil markets have exhausted the strategic reserves and inventory cushions that previously mitigated supply shocks. With 2.5 million barrels per day offline due to Saudi pipeline attacks and rising demand from China, the energy sector faces heightened volatility and upward price pressure.
While reports of a potential ceasefire between Russia and Ukraine offered temporary relief, the market remains constrained by structural supply deficits, depleted strategic reserves, and ongoing infrastructure attacks in the Middle East.