NEW YORK / RankWire.AI / – Brent crude climbed above $90 a barrel on July 29 as oil markets reacted to tighter supplies and renewed Middle East conflict. Brent settled at $90.74, gaining $6.65, or 7.9%, during the session. West Texas Intermediate rose $5.20, or 6.6%, to finish at $84.46. The gains marked the strongest daily advances for both benchmarks in several weeks. Oil prices also extended a July rally that lifted both contracts by more than 20%.
Military activity near major production and shipping centers added pressure to the market. U.S. and Saudi forces struck Iran-backed groups in Iraq after drone attacks targeted Saudi oil facilities. Iran also reported attacks on ships near the Strait of Hormuz and on U.S. bases in Jordan. Explosions hit a natural gas loading site in Egypt during the same period. Maritime security company Ambrey reported damage to a U.S.-owned floating storage tanker at the Egyptian facility.
The fighting disrupted traffic across key routes used by global energy suppliers. Commercial shipping remained limited in sections of the Gulf and the Red Sea. The Strait of Hormuz handles a large share of oil exports from Persian Gulf producers. The Bab el-Mandeb Strait connects Red Sea shipping lanes with markets in Asia and Europe. Delays along those routes affected cargo schedules and increased pressure on available supplies. Traders also tracked damage near energy facilities and transport infrastructure.
U.S. crude stocks fall sharply
Domestic inventory data strengthened the July 29 rise in crude prices. The Energy Information Administration reported a 7.2 million-barrel drop in commercial oil stocks. Inventories fell to 404.5 million barrels, their lowest level since 2018. The total excluded crude stored in the Strategic Petroleum Reserve. The report confirmed a significant weekly decline in available U.S. supplies. It arrived as markets assessed transport disruptions, military strikes and damage near regional energy sites.
Oil prices then fell sharply on August 3 after the United States paused another planned strike against Iran. President Donald Trump also announced efforts toward an agreement covering Iran’s nuclear program and the Strait of Hormuz. Brent dropped $4.49, or 5.1%, to $83.44 during early trading. West Texas Intermediate fell $4.90, or 5.8%, to $79.77. The decline removed much of the July 29 increase within three trading sessions.
OPEC+ adds barrels for September
OPEC+ approved another production increase for September as prices moved lower. The group raised its output target by about 188,000 barrels per day. The decision completed the reversal of 1.65 million barrels per day in voluntary cuts introduced during 2023. Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman joined the agreement. Members said they would continue monthly reviews of market conditions and production compliance. The seven producers scheduled their next assessment for September 6.
Despite the August pullback, Brent and WTI remained above their average June levels. Brent spot crude averaged $85 a barrel in June. That figure stood $22 below May and $32 below the April 2026 peak. The July energy outlook placed the average Brent price for 2026 at $82 a barrel. The July 29 move above $90 reflected lower U.S. inventories, constrained shipping routes and active conflict near major oil and gas infrastructure.