OIL prices fell for a second consecutive session on Thursday, with Brent crude trading around US$105 a barrel, after reports that Saudi Arabia plans to restore roughly half the capacity of its East-West pipeline within days and return it to full operation within six weeks.
The pipeline, which provides an alternative route for Saudi crude to bypass the Strait of Hormuz, was damaged in drone attacks last week.
Saudi Arabia has meanwhile stepped-up efforts to move more crude through the strategic waterway with assistance from the US military.
US Energy Secretary Chris Wright said 18 million barrels of crude and petroleum products had passed through the Strait of Hormuz earlier this week.
In the United States, official data showed crude inventories fell by 640,000 barrels to 423.4 million barrels, although the decline was smaller than analysts had expected.
The figures contrasted sharply with the American Petroleum Institute’s earlier estimate of a 7.1 million-barrel increase in crude stocks.
Meanwhile, the US dollar also strengthened, with the dollar index rising above 100 on Wednesday for the first time in nearly seven weeks after the Federal Reserve raised interest rates by 25 basis points.
The Federal Open Market Committee’s decision was unanimous and widely expected, following data pointing to persistent underlying inflation, low unemployment and a sharp rebound in retail sales.
The Fed’s latest projections indicated that policymakers saw scope for at least one more rate increase this year, while unemployment forecasts were revised lower and economic growth expectations higher.
The decision supported the dollar after earlier remarks by Fed Chairman Warsh had raised questions over the central bank’s willingness to use higher interest rates to contain inflation, triggering renewed demand for precious metals and other safe-haven currencies.
The Bank of England is expected to leave interest rates unchanged on Friday, while the Bank of Japan is due to raise rates.
Against the Malaysian ringgit, the US dollar rose 0.76% to 4.0993 on Sept 17.
The ringgit has weakened 1% against the US dollar over the past month but remains 2.30% stronger over the past 12 months. - September 17, 2026
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