Oil price today: Crude relaxes slightly amid Middle East tensions; Brent drops to $102 per barrel

Crude oil prices showed slight relaxation on Wednesday as tensions continue to boil in the Middle East. Brent crude climbed 3.2% to $103.42 a barrel before slipping $1.15, or 1.11%, to $102.27 a barrel, by 0108 GMT. US West Texas Intermediate crude fell $1.54, or 1.6%, to $94.67. The gains initially marked oil’s second-highest close this year and followed increases in 11 of the past 13 trading sessions. The rise came after fresh attacks on key energy facilities, including Iran’s Majnoon oil field and a gas field in the United Arab Emirates, both of which suspended production. However, the price later eased after reports based on American Petroleum Institute data showing a rise in US crude inventories. Light crude futures rose 2.9% to $96.21 a barrel before easing. The disruption of tanker traffic through the Strait of Hormuz, a vital corridor for global oil shipments, has intensified concern over supply, sending ripples through stock and bond markets. Meanwhile, the ongoing Middle East conflict continues to escalate. Israel announced killing Iran’s security chief, Ali Larijani, following Tehran’s overnight attack that set a massive UAE gas field ablaze. Trump also threatened further strikes on Kharg Island, Iran’s main oil export hub, while reports indicate that Russia is supplying Iran with satellite imagery and drone technology.In the US, rising oil costs have hit consumers. AAA reported the national average for a gallon of regular gasoline jumped to $3.79 on Tuesday, up from $2.98 before US and Israeli forces launched attacks on February 28. Despite America being a net oil exporter, it still relies on imports of heavier crude for coastal refineries. With Iran limiting tanker movement through the Strait of Hormuz, disruptions persist. In response, the International Energy Agency has pledged to release 400 million barrels from member stockpiles, and the US will contribute 172 million barrels from its Strategic Petroleum Reserve.Watch: Tel Aviv devastated; Iran unleashes cluster fury to avenge Larijani; two dead In India, consumers are concerned over the LPG supply crunch. Oil marketing companies have tightened LPG booking norms as global energy disruptions triggered by the ongoing West Asia conflict continue to affect fuel supply chains in India. Under the revised instructions, LPG distributors in the state were asked not to accept refill bookings from customers who did not order a cylinder for more than nine months unless they completed the mandatory KYC verification.In a press briefing a day earlier, Centre reassured the public that the supply of cooking gas continues without disruption and advised against making panic bookings. However, analysts have cautioned that these measures will only provide short-term relief, while seasonal demand and shifts to more expensive “summer blend” fuels could sustain pressure on prices.