Global oil prices dropped on Monday as investors monitored Middle Eastern crude flows, which continue to outperform expectations despite recent hostilities. Futures for Brent crude fell 1.66% to $102.15 per barrel, while U.S. West Texas Intermediate crude dropped 1.83% to $98.46 per barrel.
The decline follows missile and drone attacks by Iran-backed Houthis on Saudi Arabia over the weekend. However, analysts at JPMorgan noted in a Sept. 18 report that regional oil movements have remained “surprisingly strong” even after disruptions to Saudi Arabia’s East-West pipeline. Average daily flows over the past 10 days stood at 17.1 million barrels, representing a deficit of 6.1 million barrels per day compared to 2025 averages.
Geopolitical uncertainty persists as U.S. President Donald Trump signaled potential further escalation in the conflict with Iran. In an interview with Fox News, Trump described himself as being in “deciding mode,” warning that “very big things” are imminent. He added, “My question is, if and when do I blow the entire nation up? They better behave.”
Market volatility may continue depending on diplomatic developments. Daniel Takieddine, CEO of Sky Links Capital Group, stated that prices remain closely linked to the pace of export normalization. He warned that any setbacks in shipping conditions could tighten the physical market and drive prices upward.
Finally, some good news for my commute! Hope this trend continues before winter hits.
JPMorgan called it surprisingly strong, but shipping risks are real. If the Strait of Hormuz gets blocked, that $98 won’t last long.
Wait, a 6.1 million barrel deficit? Something doesn’t add up. Are we missing data on inventory builds?
Trump’s rhetoric is terrifying, but the market seems unimpressed. Is he playing chicken with global energy supplies?
Hard to believe prices are dropping after those weekend attacks. The resilience of Middle East exports is genuinely shocking.