Crude oil settled 2.11% higher at ₹8,825, gaining ₹182 on the day while open interest fell 2.66% to 12,015 contracts. Technical levels show support at ₹8,576, with a breakdown exposing ₹8,327, and resistance at ₹8,994 that could push prices toward ₹9,163 if sustained.
Bank of America lifted its second‑half 2026 Brent forecast to $95 a barrel from $83, while keeping its 2027 outlook near $80.
U.S. inventory data showed a build. The American Petroleum Institute reported a 1.8‑million‑barrel rise in crude stocks, while the Energy Information Administration said crude inventories grew by 3 million barrels to 426.4 million barrels for the week ended 18 September, contrary to expectations for a draw. Cushing stocks rose 2.3 million barrels to 23.7 million, refinery runs fell 519,000 bpd and utilization slipped 2.8 percentage points to 94%. Gasoline and distillate inventories fell 1.7 million and 0.4 million barrels respectively, and the Strategic Petroleum Reserve declined to 284.6 million barrels, its lowest level since October 1982.
On the supply side, Saudi Arabia is preparing to restart exports through its East‑West pipeline, a route that could bypass the Strait of Hormuz and add shipments. In Washington, President Donald Trump said a meeting with Iranian envoys was “very productive,” with further talks planned, though regional tensions remain elevated. Libya reported a loss of roughly 130,000 bpd after the Sharara‑Zawiya pipeline was closed.
Demand outlooks have been revised downward. OPEC cut its 2026 global oil‑demand growth forecast to 380,000 bpd, marking its fifth consecutive downgrade. The International Energy Agency warned that shrinking inventories and constrained refining capacity could tighten markets if Middle‑East disruptions persist into 2027.
