Risk Premium Fades and Oversupply Expectations Weigh on Oil Prices; WTI and Brent Fall Weekly

English summary

Oil prices rose slightly on Friday but fell for the week as market sentiment shifted from supply disruption panic to oversupply concerns. The IEA forecasts a widening global oil surplus in Q4, OPEC+ output has recovered to pre-war levels, and rising US inventories amid weak demand have eroded geopolitical risk premiums. Although shipping attacks in the Middle East persist, supply recovery remains the dominant variable, limiting upside potential unless extreme scenarios like a prolonged Strait of Hormuz blockade occur.