On Thursday, November WTI crude oil and RBOB gasoline prices closed lower due to a stronger dollar and concerns about increased crude exports from Iraq. However, prices rebounded after reports of European diplomats prepared to take action against Russian aircraft. Strong US economic data also supported energy demand and limited losses in crude prices.

The agreement between Iraq and the Kurdish region to resume oil exports could add 500,000 bpd of oil to global markets, boosting supplies and weighing on crude prices. Stronger-than-expected US economic news, including an upward revision of Q2 GDP and lower unemployment claims, supported energy demand and helped stabilize crude prices.

Concerns about the war in Ukraine leading to sanctions on Russian energy exports supported crude prices. President Trump suggested NATO nations should shoot down Russian aircraft violating airspace. Ukrainian attacks on Russian refineries have curbed exports, tightening global oil supplies. Canadian Prime Minister Carney also supports increasing pressure on Russia through sanctions.

Ukraine’s attacks on Russian oil infrastructure have curbed exports, tightening global oil supplies and supporting crude prices. Damage to Russian refineries and pipelines has significantly reduced total flows, creating bullish conditions for crude prices. Reduced crude demand from India and an increase in oil stored on tankers are factors contributing to bearish sentiment for oil prices.

OPEC+ agreed to gradually increase crude production, with a smaller rise in October compared to previous months. OPEC plans to gradually restore a total of 2.2 million bpd of production by September 2026. US crude inventories are below seasonal averages, and production remains high despite a slight decrease from record levels. The number of active US oil rigs has also increased slightly but remains relatively low compared to previous years.

Read more at Yahoo Finance: Crude Prices Recover as Russian-NATO Tensions Escalate