WTI snaps its four-day winning streak, inches lower to near $76.30

West Texas Intermediate (WTI) oil price tries to snap its four-day winning streak, edging lower to near $76.30 per barrel during the Asian session on Friday. However, Crude oil prices gained ground in early trading hours on Friday due to the escalated tension in the Middle East after Israel rejected a ceasefire offer from Hamas.

Israeli forces carried out airstrikes on the southern border city of Rafah on Thursday. The United States (US) cautioned Israel against launching a military offensive into Rafah without proper planning, labeling such an action a "disaster." The White House emphasized that it would not endorse any major operations in Rafah without due consideration for the refugees residing there. Meanwhile, a Hamas delegation arrived in Cairo on Thursday for ceasefire discussions with mediators from Egypt and Qatar.

Key US fuel producers surpassed Wall Street's earnings forecasts for the fourth quarter, buoyed by robust refining margins and operational efficiency. They also anticipate a further increase in profits this year, driven by continued global demand growth. In 2023, Marathon Petroleum, Phillips 66, and Valero Energy reported combined adjusted earnings of $25.7 billion.

Russia's commitment to reduce Crude oil exports under the Organization of the Petroleum Exporting Countries and its allies (OPEC+) agreement may face challenges due to unexpected circumstances. Damage caused by drone attacks and technical malfunctions at refineries prompted Russia to export more Crude than originally planned in February. As part of the agreement with the OPEC+ coalition, Russia has agreed to cap its Crude oil production at 9.5 million barrels per day (bpd). Additionally, it has voluntarily pledged to decrease exports of crude oil and fuel by 300,000 bpd and 200,000 bpd respectively, compared to the average level observed in May-June.