Saudi Aramco has notified at least two European refining customers that they will not receive crude oil shipments in October, following significant damage to Saudi Arabia’s main East-West pipeline. The development comes as gold prices advanced and oil prices retreated, with investors focusing on the latest geopolitical and financial shifts in the Middle East and beyond.
Saudi crude shipments disrupted
Aramco’s decision to suspend October deliveries for some European refiners marks a break from its usual supply contracts, which typically allocate Saudi crude on a monthly basis. The move follows a drone attack on September 10 that damaged pumping infrastructure on the kingdom’s 1,200-kilometre East-West pipeline, which has the capacity to transport up to 7 million barrels of oil per day from Saudi Arabia’s eastern fields to the Red Sea port of Yanbu.
Reuters reported that three pumping stations on the pipeline were damaged, one more than previously assessed. Saudi officials are aiming to restore around half of the pipeline’s capacity within days, but full repairs could take several weeks or more.
European refiners are now seeking alternative supplies, including increased volumes from the North Sea. Poland’s Orlen, which sources approximately 40% of its crude feedstock for its three refineries from Saudi Arabia, has issued over 10 tenders for replacement cargoes since last Friday.
European buyers relying on Aramco contracts will not receive Saudi oil shipments in October, with refiners accelerating efforts to secure crude from other sources due to the pipeline outage.
Commodities market reacts
Brent crude prices fell 1.56% to $103.19 a barrel, while West Texas Intermediate declined 2.17% to $99.7, as concerns about supply disruption eased for the time being. Saudi Arabia has rerouted some exports through the Strait of Hormuz, though that route remains disrupted, with only four commodities vessels passing through on Thursday compared to a recent 10-day average of about 16, according to shipping data.
Meanwhile, the physical market for oil remains under pressure. Some European cargoes are reportedly trading above $130 per barrel, with North Sea Forties crude reaching $136.75.
Gold prices rose to a one-week peak, with spot gold at $4,378.49 an ounce, up 0.88%. US gold futures settled 0.45% higher at $4,419.40. Other precious metals also advanced, with silver gaining 2.3%, platinum up 2.2%, and palladium rising 1.5%.
Despite a stronger dollar and higher US interest rates, which generally make precious metals less attractive, gold and other metals held firm amid investor uncertainty and adjustments to inflation expectations.
Bitcoin surges as regulatory landscape shifts
Bitcoin registered a 6% jump on September 18, briefly reaching $81,000 after trading near $77,000 most of the week. The rally aligned with the US Securities and Exchange Commission’s announcement of a five-year exemption that enables specific platforms to offer on-chain trading for tokenized stocks under certain conditions. These tokenized securities must provide the same rights as traditional shares to their holders, and the decision offers a clearer regulatory framework for platforms targeting this emerging market.
The recent Senate failure to move forward with the CLARITY Act had left digital asset regulation in limbo, making the SEC’s action particularly relevant for market participants. Bitcoin’s upward move was also supported by the decline in oil prices, which tempered inflation risks and improved investor sentiment towards risk assets.
In fast-moving markets where policy changes and asset listings can instantly reshape trading conditions, the complexity and fragmentation of platforms for tracking portfolios, news, and technical data present operational risks for traders. Many market participants now seek to consolidate their data sources for improved decision-making. Privacy-focused tools such as CryptoAppsy enable investors to access live charts, price alerts, news, and macroeconomic data all in one place, without the requirement to register or create an account.
