Global oil prices hovered near $102.60 per barrel on Friday, October 2, 2026, finding slight support from China’s fuel export suspension and new U.S. military deployments to the Middle East, even as reports of potential strategic reserve releases exerted downward pressure on the market.
Market Movement and Brent and WTI Futures Pricing on Friday
Crude benchmarks saw modest movement during early Friday trading before sliding around 3% following reports of discussions regarding additional releases from diesel and crude oil inventories. By early Asian trading, Brent crude had edged up 29 cents, or 0.28% to 102.60 dollars per barrel, while U.S. West Texas Intermediate (WTI) crude gained 27 cents, or 0.29%, to 93.14 dollars. However, as the session progressed, prices turned downward.
By 0842 GMT, Brent fell 2.83 dollars, or 2.77%, to 99.48 dollars per barrel, while WTI dropped 3.35 dollars, or 3.61%, to 89.52 dollars. European gas oil futures dropped by more than 5% to 1,377 dollars per ton. Analysts noted that the market was experiencing a profit-taking phase and temporary correction after previous sharp gains driven by geopolitical tensions and supply anxiety.
China Restricts Fuel Exports as Middle East Tensions Rise
Supply concerns intensified after Beijing suspended major refinery shipments outside of Hong Kong and Macau for October. China regulates diesel, gasoline, and jet fuel shipments on a monthly basis, and refineries entered a week-long holiday without receiving major export approvals for the month. This restriction compounded an already tight global product market.
Simultaneously, geopolitical tensions in the Middle East added upward risk. Reports indicated that the United States is dispatching a third aircraft carrier and additional troops to the region. President Donald Trump indicated he faces a decision either to reach a fair agreement with Iran or pursue alternative measures.
Waterr added that traders were taking a short break following Thursday’s volatility, noting that positive signals from Saudi exports were counterbalanced by reports of deploying another U.S. carrier to the Gulf and China’s refined product limitations.
Washington Demands European Diesel Reserve Releases
The pressure on European inventories prompted the United Kingdom to engage in crisis talks with the EU regarding emergency fuel supplies.
