Oil prices ease as US acts to secure global supply
Crude oil drips from a valve at an oil well operated by Venezuela’s state oil company PDVSA, in the oil rich Orinoco belt, near Morichal at the state of Monagas. Pix: Reuters
Oil prices pulled back on Friday, but not because the market suddenly feels safe. This shift is a tactical breather rather than a trend change.
Brent slipped back toward the $109 level. Meanwhile, WTI hovered in the high-$90s.
This eased the pressure from Thursday’s spike that briefly pushed Brent near $120. Policy, not a shift in fundamentals, triggered the move. Washington is scrambling to throw barrels at the problem.
Allies are also lining up to help stabilise flows through the Strait of Hormuz.
This effort includes sending additional troops to the Middle East. That chokepoint still moves roughly a fifth of global oil and LNG.
The U.S. is floating multiple levers at once. Sanctions relief on stranded Iranian cargoes could put barrels back into Asian markets within days. Strategic Petroleum Reserve (SPR) releases are back on the table.
Diplomatically, the U.S. is trying to corral a coalition. Europe, Japan, and Canada are working to secure shipping lanes and keep tankers moving. Media reports citing US officials said that:
“The US military is sending thousands of marines and sailors to the Middle East.”
