Crude oil futures traded lower on Thursday morning after US President Donald Trump said the latest US attacks targeted Iran’s rocket and radar systems.
At 10.03 am on Thursday, November Brent oil futures were at $95.17, down by 0.48 per cent, and October crude oil futures on WTI (West Texas Intermediate) were at $90.74 down by 0.30 per cent. September crude oil futures were trading at ₹8565 on Multi Commodity Exchange (MCX) during the initial hour of trading on Thursday against the previous close of ₹8601, down by 0.42 per cent, and October futures were trading at ₹8322 against the previous close of ₹8364, down by 0.50 per cent.
Addressing reporters in the Oval Office, Trump said Iran was trying to build a rocket that drops mines and the US had destroyed it. Stating that Iran had been working to restore its radar and missile systems, he said the US strikes targeted them also.
“We took out all of the new equipment that they tried to build along the Strait of Hormuz – some defensive, some offensive … It was a very heavy attack last night, and we’re prepared to do another one any time we want,” he said.
In a post on Truth Social, Trump said: “Now that we have it under U.S.A. control, should we change the name Hormuz Strait to TRUMP STRAIT??? Like America itself, it would be “hotter” than ever before!”
US Central Command said in a post on X that the US Navy continues to strictly enforce the US blockade against Iran. As of September 2, US forces have redirected 86 commercial vessels, disabled three and boarded two to ensure compliance, it said.
Meanwhile, the petroleum status report released by the US EIA (Energy Information Administration) showed a decline in crude oil inventories in the US for the week ending August 28.
According to US EIA, commercial crude oil inventories decreased 4.5 million barrels to 424.5 million barrels, 1 per cent above the five-year average, for the week ending August 28. Gasoline inventories decreased 1.2 million barrels, 6 per cent below the five-year average. Distillate inventories increased 0.8 million barrels, 14 per cent below the five-year average.
Over the past four weeks, total product supplied in the US averaged 20.4 million barrels a day, down 4 per cent year-over-year. The four-week average for gasoline product supplied decreased 2 per cent year-over-year to 8.9 million barrels a day, while the four-week average for distillate product supplied decreased 6 per cent to 3.7 million barrels a day. The four-week average for jet fuel product supplied decreased 1 per cent year over year, it said.
September natural gas futures were trading at ₹285.40 on MCX during the initial hour of trading on Thursday against the previous close of ₹279, up by 2.29 per cent.
On the National Commodities and Derivatives Exchange (NCDEX), September jeera contracts were trading at ₹21530 in the initial hour of trading on Thursday against the previous close of ₹21310, up by 1.03 per cent.
October dhaniya futures were trading at ₹15752 on NCDEX in the initial hour of trading on Thursday against the previous close of ₹15812, down by 0.38 per cent.