Oil Prices Decline as Traders Weigh Mideast Diplomatic Efforts and Supply Risks

Crude oil futures fell on Thursday as traders balanced Middle East supply risks against diplomatic developments. Front-month WTI dropped 92 cents, or 0.9%, to $101.86 per barrel after hitting an intraday low of $101.75, paring a 3% gain from the prior session. Brent crude earlier declined 0.6% to $114.60 per barrel. Price swings followed conflicting geopolitical signals: reports emerged of U.S. diplomatic engagement with an Iranian hard-liner, while a senior Iranian official rejected a Qatari-mediated draft proposal. Concurrently, Yemen's Houthis attacked Aden airport and claimed a missile strike on a 550,000-barrel-per-day Saudi oil refinery.