Oil News: Hormuz Mines Tighten Supply Outlook as SPR Nears 44-Year Low Before EIA Report
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Key Points:
- Hormuz mine strikes disabled two tankers, turning the Strait’s best shipping day since the war into a new supply threat.
- API’s 2.6 million barrel crude draw puts the EIA report in focus as WTI holds above $90 and Brent defends $95
- The SPR fell to 286.6 million barrels, near a 44-year low, leaving less room to offset another supply shock.
The Strait of Hormuz had its best shipping day since the war started on Monday. By Wednesday morning two tankers had hit sea mines trying to make the same transit. The API reported a 2.6 million barrel crude draw overnight. The Strategic Petroleum Reserve is near its lowest level in 44 years and still being drawn down. Distillate inventories are running 14% below normal heading into fall. The supply picture is tightening from the Gulf Coast to the Persian Gulf and the EIA report lands in hours.