Oil prices rise on inventory drop and OPEC+ halt

Oil prices rose by more than $2 a barrel on Wednesday, July 29, 2026, driven by shrinking U.S. crude inventories and expectations that OPEC+ will halt output increases starting in October. Brent crude increased by $2.71 to $86.80 a barrel, while WTI rose $2.26 to $81.95. The American Petroleum Institute reported a 3.3 million barrel drop in U.S. crude inventories for the week ended July 24. The price rebound partially recouped losses from the previous session, which were caused by a pause in hostilities between the United States and Iran. The U.S.-Israeli war in Iran has disrupted global oil flows, particularly through the Strait of Hormuz. U.S. President Donald Trump called off a two-week bombing campaign over the weekend and indicated good talks with Iran, but threatened more strikes if negotiations fail. Iran denied seeking talks. Oman presented a plan to manage the Strait of Hormuz, backed by Gulf states, aiming to end trade disruption.