Crude Slips Below $100 on Iran-Gulf Talks, Easing Airline Fuel Costs

Crude oil retreated sharply on Friday, with West Texas Intermediate falling about 2.4% to roughly $100 a barrel and Brent dropping close to 3% to around $104. The move came after Iranian state media reported that talks with Gulf states are planned in Oman, easing the risk premium that had built up during a week of escalating regional tensions.

Supply and demand forecasts added to the downward pressure. The U.S. Energy Information Administration raised its 2027 domestic crude production outlook to 14.3 million barrels a day, while the International Energy Agency cut its global demand projection for 2026. The combination pointed to a looser balance than the market had assumed during the recent run higher.

The pullback matters for fuel-sensitive names. Airlines including Delta Air Lines and American Airlines, along with parcel carrier UPS, had been pressured as Brent pushed past $100 earlier in the week. Energy producers such as Chevron and BP face the opposite trade, giving back some of the gains tied to the earlier rally.