WTI Oil recovers to $85.50 as stalled Middle East peace talks and ongoing tanker attacks in the Strait of Hormuz outweigh a surprise 9 million barrel API inventory build.
Fading optimism over a US-Iran peace deal and continued attacks on tankers in the Strait of Hormuz, a corridor carrying about 20% of global Oil supply before the war, push WTI more than $2 above Tuesday's lows to around $85.50. Ongoing vessel attacks keep supply-disruption fears alive. However, a surprise 9 million barrel API stock build versus an expected 1 million drawdown limits the recovery.
WTI Crude Oil has climbed more than $2 from Tuesday's lows to trade around $85.50 as negotiations between Washington and Tehran stall. Persistent attacks on tankers in the Strait of Hormuz continue to fuel supply disruption fears, though a surprise 9 million barrel build in US crude inventories reported by the API is capping further gains.
Hopes of a US-Iran peace agreement are fading as talks show no progress, while attacks on tankers in the Strait of Hormuz continue, keeping supply-disruption fears elevated. WTI has recovered more than $2 from Tuesday's lows to around $85.50.
API data showed Crude Oil stocks rose by 9 million barrels in the week ending November 6, far above the expected 1 million barrel drawdown, signalling weaker demand or higher supply and limiting WTI's rebound.