Crude oil futures fell sharply on Friday, with U.S. West Texas Intermediate slipping below $100 a barrel after a run of double-digit weekly gains. The decline snapped multi-day winning streaks for both WTI and Brent front-month contracts.
The pullback followed reports of planned diplomatic talks between Gulf states, easing some of the supply anxiety that had driven prices higher in recent sessions. Both benchmarks had climbed above the $100 threshold during the week before Friday’s reversal.
While crude retreated, refined fuel prices pushed in the opposite direction. Diesel passed $6 for the first time, setting a fresh record and pointing to continued strain in fuel markets even as raw crude eased.
The divergence reflects tight refining capacity and firm demand for distillates, which can keep pump and wholesale fuel prices elevated regardless of short-term moves in crude. Diesel underpins freight, agriculture and industrial activity, making its record level a broader cost concern.
Oil markets have traded around the $100 mark for much of the year, moving on geopolitical developments and shifting supply expectations. The week’s earlier gains had extended a rally before the prospect of regional diplomacy cooled buying.
Recent sessions have seen crude swing repeatedly around the $100 level as traders weighed conflicting signals from the Middle East. Friday’s move continued that pattern, with sentiment turning on the possibility of talks rather than any confirmed change in output.
The scale of the weekly advance meant the single-day drop still left both benchmarks higher than a week earlier. Analysts have noted that thin margins between supply and demand leave prices sensitive to headlines.
Gulf states are expected to hold the reported diplomatic discussions in the days ahead, an outcome traders will watch for direction on future supply.