Oil prices experienced volatile trading during the week of September 25, 2026, as expectations for renewed US-Iran diplomacy eased supply concerns while uncertainty over the Strait of Hormuz reopening and Middle East disruptions maintained geopolitical risk premiums. International benchmark Brent crude futures for November delivery traded at $105.36 per barrel at 3:28 p.m. local time (1228 GMT) Friday, representing a 1.4% gain from the previous Friday's close of $103.87. US benchmark West Texas Intermediate (WTI) crude futures for November delivery traded at $92.86 per barrel, down approximately 3.4% from $96.08 a week earlier, according to data from Anadolu Agency.
Oil prices declined more than 2% at the start of the week as renewed diplomatic efforts between the United States and Iran, combined with a recovery in Saudi crude exports, eased concerns over supply disruptions. Qatar had been working with Tehran and Washington for nearly two weeks to help resume talks, while Qatar and Pakistan acted as mediators between the two sides. Preliminary data indicated Saudi crude exports had risen to more than 4 million barrels per day in September, a significant recovery from 2.4 million barrels per day in August, which represented their lowest level since 2013.
Market attention shifted on Tuesday as disruptions to Saudi oil exports and renewed fighting in Yemen elevated concerns over regional supply routes. The escalation intensified fears that further disruptions could constrain energy flows from the Middle East, though prospects for US-Iran diplomacy limited upward pressure on prices. On Wednesday, oil prices faced renewed downward pressure as reports of US-Iran contacts in New York raised hopes of easing tensions.
The partial restart of Saudi Arabia's East-West Pipeline, which allows crude to reach the Red Sea port of Yanbu, also helped ease supply concerns. The American Petroleum Institute's estimate of an approximately 1.8 million-barrel increase in US commercial crude inventories, compared with market expectations for a 500,000-barrel decline, added further downward pressure on crude prices. The downward trend reversed on Thursday as uncertainty over the Strait of Hormuz reopening and persistent regional security risks supported prices.
Iranian officials stated that Tehran remained open to diplomacy but had set conditions for reopening the strategic waterway, with officials stating that Washington would need to meet seven conditions before the Strait could be reopened. US Secretary of State Marco Rubio described the New York talks as not representing a breakthrough, although he characterized the fact that the meeting took place as significant. Meanwhile, reports that flows through Saudi Arabia's East-West Pipeline had resumed at low levels helped limit upward price pressure.
Oil prices moved lower on Friday as Iranian President Masoud Pezeshkian signaled Tehran's readiness for negotiations with Washington. Iranian Foreign Minister Abbas Araghchi stated that Tehran had proposed a seven-day plan aimed at ending the conflict, reopening the Strait of Hormuz and restarting nuclear negotiations, under certain conditions. These diplomatic signals reduced some of the geopolitical risk premium embedded in oil prices.
Improving US-China trade relations also added to downward pressure on crude. Chinese President Xi Jinping stated that the two countries had agreed on a 'new trade arrangement' following talks aimed at extending an interim trade truce until January 2027. With the Strait of Hormuz still not fully reopened and regional security risks unresolved, the oil market remained focused on whether diplomatic efforts could translate into a sustained easing of supply disruptions.
The mixed weekly performance reflected the balance between supply relief from diplomatic progress and Saudi export recovery against persistent geopolitical uncertainties in one of the world's most critical energy corridors. Source: Anadolu Agency, September 25, 2026
Source: aa.com.tr