FX.co ★ Crude Oil Pulls Back

Crude oil gave up earlier gains to trade near $97 a barrel on Wednesday, as relatively robust traffic through the Strait of Hormuz tempered worries over intensifying attacks on shipping and energy infrastructure across the Middle East. Iran’s Revolutionary Guards said naval mines had forced three tankers to halt after they attempted to use routes Tehran deems unauthorized, while the UK Maritime Trade Operations agency reported that a vessel had been struck near Oman.

Despite the mounting security risks, US Secretary of State Marco Rubio said shipments through the key chokepoint were nearing prewar levels. Data from Kpler and Vortexa also indicated that overall Middle Eastern crude exports have increased since the summer.

Separately, Yemen’s Houthi militants claimed responsibility for attacks on Saudi Aramco facilities in Yanbu and the Shaybah oilfield, as well as on airports in Riyadh and Abha. Investors were awaiting official US inventory figures after the American Petroleum Institute reported a 4.9 million-barrel drawdown in crude stocks last week.