Crude oil futures traded higher on Thursday as diplomatic efforts to hold talks between the US and Iran failed to gain momentum, and the Strait of Hormuz remained closed to vessel traffic.
At 10 am on Thursday, June Brent oil futures were at $103.40, up by 1.46 per cent, and June crude oil futures on WTI (West Texas Intermediate) were at $94.53, up by 1.69 per cent. May crude oil futures were trading at ₹8913 on Multi Commodity Exchange (MCX) during the initial hour of trading on Thursday against the previous close of ₹8723, up by 2.18 per cent, and June futures were trading at ₹8490 against the previous close of ₹8350, up by 1.68 per cent.
In their Commodities Feed for Thursday, Warren Patterson, Head of Commodities Strategy of ING Think, and Ewa Manthey, Commodities Strategist, said hopes for a resolution between the US and Iran are fading as peace talks stall. In addition, Iran’s seizure of two vessels attempting to transit the Strait of Hormuz suggests disruptions to shipments are set to continue.
The market is having to reprice expectations. This saw Brent break convincingly back above $100 a barrel. As hopes fade, the reality of the supply disruption will set in, leaving further upside for prices. If no progress is made, the market will become increasingly numb to the noise and headlines that have recently dictated price action, they said.
In a post on X, Masoud Pezeshkian, President of Iran, said Iran has welcomed dialogue and agreement and continues to do so. Breach of commitments, blockade and threats are the main obstacles to genuine negotiations. His post, which was directed towards US President Donald Trump, said: “World sees your endless hypocritical rhetoric and contradiction between claims and actions.”
Meanwhile, ING Think’s Commodities Feed said the world continues to see growing demand destruction in the oil market, a trend that will intensify as Persian Gulf supply disruptions persist. Airlines continue to announce flight cancellations amid a tightening in jet fuel supply and significant price strength. Europe’s jet fuel market is heavily exposed to developments in West Asia. The region sources the majority of its jet fuel imports from the Persian Gulf. There is a push for Europe to look elsewhere for alternative supplies, while also relying heavily on inventory.
The US EIA (Energy Information Administration) data showed that the US is exporting record amounts of oil and refined products, as buyers around the globe seek alternative supplies. ING Think’s Commodities Feed said total oil and refined product exports over the last reporting week increased by 137,000 barrels a day to 12.88 million barrels a day.
Although the US market has been relatively shielded from West Asian supply disruptions, prolonged instability is tightening conditions as global buyers increasingly turn to US supplies, it said.
According to EIA’s petroleum status report for the week ending April 17, US commercial crude oil inventories increased by 1.9 million barrels from the previous week.
Total motor gasoline inventories decreased by 4.6 million barrels from last week, and distillate fuel inventories decreased by 3.4 million barrels.
Total products supplied in the US over the last four-week period averaged 20.5 million barrels per day, up by 3per cent from the same period last year.
Over the past four weeks, motor gasoline product supplied averaged 8.8 million barrels per day, up by 1.7 per cent from the same period last year. The average daily supply of distillate fuel products averaged 4 million barrels over the past four weeks, up 3.4 per cent from the same period last year. The jet fuel product supplied was down 6.5 per cent compared with the same four-week period last year.
April lead futures were trading at ₹196.95 on MCX during the initial hour of trading on Thursday against the previous close of ₹196.50, up by 0.23 per cent.
On the National Commodities and Derivatives Exchange (NCDEX), May jeera contracts were trading at ₹21010 in the initial hour of trading on Thursday against the previous close of ₹21165, down by 0.73 per cent.
May guargum futures were trading at ₹10907 on NCDEX in the initial hour of trading on Thursday against the previous close of ₹10971, down by 0.58 per cent.
Published on April 23, 2026
