Oil declines amid supply recovery and fears of war escalation

At the time of writing, Brent crude futures for December delivery fell by 0.82%, or 84 cents, to $101.47 a barrel, while US West Texas Intermediate (WTI) crude futures for November delivery dropped by 1.11%, or $1.03, to $91.84 a barrel.

Both benchmarks had closed higher on Thursday, with Brent rising by more than $4 and US crude increasing by more than $2, following reports of the suspension of Chinese oil product exports and the dispatch of US military reinforcements to the Middle East, which raised concerns over worsening global fuel shortages.

Reuters quoted Tim Waterer, chief analyst at KCM Trade, as saying that the market is reassessing a mixed set of indicators this week, and that traders are catching their breath after Thursday's volatility. He explained that the improving picture of Saudi exports is offset by anxiety over US military reinforcements and China's decision to restrict refined product exports.

Concerns over fuel availability grew after Reuters reported that Chinese refiners suspended oil product exports for October, as Beijing seeks to maintain domestic inventories. This comes as the market balances improving crude