Brent Extends Gains

Brent crude oil fell more than 5% to around $95 per barrel on Friday after reports that Pakistan, with support from China, was seeking to revive negotiations between the US and Iran, raising hopes for a diplomatic path to ease tensions. According to reports, Chinese officials are increasingly concerned that attacks on Gulf states and disruptions in the Strait of Hormuz are hurting their economic interests. Despite the decline, crude oil remained up roughly 8% for the week after a sharp escalation in Middle East hostilities. Overnight, US Central Command carried out its 13th consecutive night of strikes on Iran, targeting military infrastructure and maritime capabilities. The US military said the waterway remains open with American support. Meanwhile, President Donald Trump warned he was considering an unprecedented military response against Iran and vowed severe retaliation if Tehran backed further Houthi attacks on vessels in the Red Sea.

Brent crude oil slipped below $98 per barrel on Friday but remained up more than 12% for the week, as traders continued to assess mounting geopolitical risks to global energy supplies. The US launched a 13th straight day of strikes on Iran, with both sides ruling out near-term talks. President Trump also threatened "major military punishment" against Iran and the Houthis over any further attacks on Red Sea shipping and said he was considering a "massive attack" on Iran. His remarks followed attacks by Iran-backed Houthi militants on two Saudi oil tankers in the Red Sea, a key alternative export route for Saudi Arabia as fighting continued to disrupt traffic through the Strait of Hormuz. Asian buyers have begun discussing rerouting Saudi crude shipments through the Suez Canal and around Africa. Adding to supply constraints, the Caspian Pipeline Consortium suspended crude loadings at its Black Sea terminal after tanker attacks, disrupting around 80% of Kazakhstan's oil exports.

Brent crude oil traded near $100 per barrel on Friday and was on track to gain nearly 14% for the week, as escalating Middle East tensions heightened fears of deeper global supply disruptions. The US launched a 13th straight day of strikes on Iran, with both sides ruling out near-term talks. President Trump also threatened "major military punishment" against Iran and the Houthis over any further attacks on Red Sea shipping and said he was considering a "massive attack" on Iran. His remarks followed attacks by Iran-backed Houthi militants on two Saudi oil tankers in the Red Sea, a key alternative export route for Saudi Arabia as fighting continued to disrupt traffic through the Strait of Hormuz. Asian buyers have begun discussing rerouting Saudi crude shipments through the Suez Canal and around Africa. Adding to supply constraints, the Caspian Pipeline Consortium suspended crude loadings at its Black Sea terminal after tanker attacks, disrupting around 80% of Kazakhstan's oil exports.