WTI Crude Prices Edge Higher on US Inventory Draws and Middle East Friction

Inventory Dynamics

The surprise draw in US inventories suggests that domestic demand remains robust despite seasonal maintenance at some refineries. This has tightened the prompt physical market, providing a technical buffer for WTI.

Risk Premium Sustainability

While the 2026 outlook predicts a supply surplus, immediate geopolitical risks are preventing prices from falling toward the $60 mark. Traders are currently pricing in a 'safety margin' for potential Persian Gulf disruptions.