Crude Oil Prices Recover on Jan 23, 2026, on Geopolitical Concerns and US Inventory Data

Crude oil prices edged up in Friday’s session as renewed geopolitical tensions in the Middle East prompted supply-side concerns.

Market participants also reacted to recent US inventory figures indicating higher stockpiles, contributing to short-term price movements and cautious trading sentiment.

Market Price Movement

Brent crude futures for March delivery rose by 35 cents, or 0.55%, to trade at $64.41 per barrel. US West Texas Intermediate crude increased by 33 cents, or 0.56%, to $59.69 per barrel. The gains followed earlier weakness linked to inventory data and demand expectations.

Geopolitical Developments

Oil prices found support after US President Donald Trump stated that an “armada” was heading towards Iran, while also indicating a preference not to deploy it, as per the Reuters report.

His comments renewed warnings to Tehran over potential actions relating to domestic protests and nuclear programme activities.

These statements raised concerns about possible disruptions to oil supply from the Middle East.

US Inventory Data

Prices had softened in the prior session after government data showed an increase in US crude stockpiles. 

The US Energy Information Administration reported that crude inventories rose by 3.6 million barrels for the week ending 16 January. 

This exceeded market expectations and followed similar figures from the American Petroleum Institute, which indicated a build of around 3 million barrels.

Reporting Schedule Impact

Both the EIA and API reports were released a day later than usual due to the US Martin Luther King Jr. holiday. The delayed data release contributed to staggered market reactions across the trading sessions.

Read More: Sensex Weekly Expiry: Bandhan Bank and Sammaan Capital Under F&O Ban on January 22, 2026.

Conclusion

Oil markets remain sensitive to geopolitical developments and inventory trends. While supply-related concerns provided short-term support to prices, stockpile data and demand signals continue to influence broader market direction in the near term.

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