Brent Closes Above $100 as Shipping Risks Escalate
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Brent crude closed above $100 per barrel July 23 for the first time since May as conflict and shipping disruptions increased concerns about global oil supplies.
Reuters reported that Brent futures settled at $100.69 per barrel, up 7%, while U.S. West Texas Intermediate crude closed at $92.19, up 6.2%. In July 24 trading, Brent retreated to $97.10 as of 12:40 p.m. GMT but remained on course for a weekly gain of more than 10%.
The Reuters report cited disruptions affecting energy shipments through the Red Sea and subdued tanker traffic through the Strait of Hormuz. Preliminary ship-tracking data provided to Reuters showed three daily tanker transits through Hormuz during each of the previous three days.
U.S. Central Command separately said it completed another round of strikes against Iranian military targets July 22, marking the 12th consecutive night of U.S. strikes.
Sources: Reuters and U.S. Central Command
Crude oil volatility can affect petrochemical feedstocks, solvents, resins and transportation costs across coatings supply chains. Until suppliers announce corresponding price increases, surcharges or logistics disruptions, the coatings impact remains a developing risk rather than a confirmed cost change.
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