**Crude Oil Prices Rise Amid Global Tensions**
May WTI crude oil is up $1.05 (+1.07%) to $99.48 per barrel as of today, with May RBOB gasoline increasing by $0.0366 (+1.22%). This rise is attributed to a weaker dollar and ongoing disruptions in oil flow through the Strait of Hormuz, which typically handles 20% of the world’s oil supply. Iranian officials demand an immediate ceasefire in Lebanon and the release of blocked assets before negotiations begin, adding pressure on global oil supplies.
Production cuts from Saudi Arabia, totaling over 600,000 barrels per day (bpd), further support higher prices, as local storage reaches capacity due to the strait’s blockade. Additionally, OPEC+ has announced plans to increase crude output by 206,000 bpd in May, though this may be hindered by ongoing conflicts in the Middle East. US crude oil production has mildly decreased to 13.596 million bpd, and active US oil rigs have risen by just two to 411, remaining near a 4.25-year low.
