CIR Afternoon Update — April 9, 2026
WTI surges $3.57 on Hormuz ceasefire uncertainty, Chevron flags $1.6–2.2B Q1 upstream beat, and U.S. crude inventories rise 3.1M barrels.
WTI crude surged $3.57 (3.8%) to $97.98/bbl Thursday afternoon, with Brent gaining $1.55 to $96.30, as traders re-evaluated supply-chain risks in the wake of Tuesday's U.S.-Iran ceasefire agreement.
Hormuz Traffic Slowly Resuming — but Risks Remain
According to Reuters, commodities trader Glencore and Taiwan's CPC have chartered tankers to load Middle Eastern crude for Asian destinations, with vessels in the Gulf now preparing to transit the Strait of Hormuz — the first significant eastbound flow since Iranian restrictions began in March. However, analysts caution that the two-week ceasefire is fragile, and physical supply disruptions are not yet resolved. European and African crude prices have actually risen to fresh records this week, per Reuters, as traders price in a prolonged dislocation of physical barrels regardless of the diplomatic pause.
Chevron Signals Upstream Windfall
According to Reuters, Chevron reported Thursday that it expects first-quarter upstream earnings to rise between $1.6 billion and $2.2 billion quarter-over-quarter, fueled by elevated oil prices driven by the Iran conflict. The guidance is notably wide due to hedging impacts, but the upstream beat reflects the windfall high-price environment major operators have captured since the Hormuz disruption began.
EIA Inventory Build Offsets Price
According to OilPrice.com, the EIA reported Wednesday that U.S. crude inventories rose 3.1 million barrels in the week ending April 3, bringing commercial stockpiles to 464.7 million barrels — 2% above the five-year average. Total products supplied averaged 20.8 million barrels per day over the past four weeks, up 6.3% year-over-year, signaling resilient domestic demand despite the elevated price environment.
Market Sentiment
The day's price action reflects a tug-of-war between ceasefire relief (bearish for supply premiums) and continued uncertainty about the physical market dislocation. WTI trading above Brent — a rare inversion that reflects accessible U.S. supply commanding a domestic premium — continues to unwind as Hormuz flows slowly normalize.
Disclaimer: This update is for informational purposes only and does not constitute investment advice. All data is sourced from publicly available third-party sources. Crude Intelligence Report makes no representations as to accuracy or completeness.
