Oil prices fell on Friday, November 13, and remained on track for a second consecutive weekly decline as the United States signalled plans to maintain its blockade on Iran. The development reduced expectations of renewed large-scale fighting that could disrupt Middle Eastern energy supplies, although attacks on shipping and oil infrastructure continued to threaten market stability.
Brent crude futures slipped 1 cent to $95.41 per barrel by 0242 GMT, while US West Texas Intermediate (WTI) crude declined 20 cents, or 0.25%, to $88.52 per barrel.
The latest declines reversed gains recorded during the previous two trading sessions, reflecting uncertainty over the conflict involving the United States, Israel and Iran.
Despite fluctuations throughout the week, Brent crude was heading towards a 2.4% weekly loss, following a 16% decline the previous week. WTI was also set for a 2.5% weekly drop after losing 13% in the preceding week.
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Trump’s Iran Policy Weighs on Oil Market
US President Donald Trump indicated that Washington would continue its pressure campaign against Tehran, including restrictions on Iranian oil shipments, trade and economic activity.
In a post on Truth Social, Trump said an agreement with Iran was not necessary to end the conflict, signalling that his administration intended to maintain its existing approach.
The statement weighed on oil prices as traders assessed the possibility of prolonged restrictions without an immediate escalation into a wider regional conflict.
Chris Brankin, global adviser at Melbourne-based brokerage MiTrade, said the recent decline reflected how markets were assessing the risks associated with the conflict.
He described the oil market as being priced to perfection, adding that recent price recoveries lacked strong conviction among traders.
His comments highlighted how closely investors were monitoring developments in the Middle East before making decisions about future oil prices.
Strait of Hormuz Attacks Raise Supply Concerns
Despite the recent decline, risks to global oil supplies remain significant, particularly around the Strait of Hormuz.
The strategic waterway is a major route for crude oil exports from leading Middle Eastern producers. Any prolonged disruption could affect international energy markets and increase transportation costs.
On Thursday, Iran’s military said four oil tankers had been hit by explosions in the Strait of Hormuz after ignoring warnings. Reuters said it could not immediately independently verify the Iranian account.
Meanwhile, Yemen’s Houthi group claimed responsibility for attacks targeting several Saudi energy facilities.
The group said it had struck a pumping station on Saudi Arabia’s East-West oil pipeline, an oil facility in the Red Sea city of Yanbu and an Aramco building in Riyadh.
These developments have raised concerns about the security of regional energy infrastructure and the possibility of further disruptions to oil shipments.
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Rising US Oil Inventories Add Pressure
Higher US crude and fuel inventories also contributed to the downward pressure on prices.
The US Energy Information Administration (EIA) reported that crude inventories increased by 4.7 million barrels to 414.4 million barrels during the week ending November 6.
The increase contrasted sharply with expectations among analysts surveyed by Reuters, who had forecast a reduction of 1.1 million barrels.
The inventory build reflected higher oil imports and weaker demand for refined petroleum products, adding another factor weighing on the market.
Rising inventories generally indicate that available supplies are exceeding immediate demand, which can put downward pressure on crude prices.
Oil Market Faces Uncertain Outlook
The global oil market continues to face competing pressures as geopolitical tensions threaten supplies while higher inventories weigh on prices.
The US blockade on Iran, attacks involving tankers and Saudi energy facilities, and uncertainty surrounding the Strait of Hormuz remain key factors for traders.
Although crude prices have declined sharply over the past two weeks, further developments in the Middle East could quickly change market expectations.
For now, investors are closely watching diplomatic decisions, regional security developments and US inventory figures to assess the direction of international oil prices.
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