The US government is acting to stabilize energy markets by releasing additional crude inventories to combat tightening supply in the Middle East. The US Energy Department announced it is offering up to 40 million barrels from the Strategic Petroleum Reserve (SPR) on September 29 to offset disruptions in the Strait of Hormuz. The Trump Administration moved forward with the draw despite a statement from International Energy Agency Director Fatih Birol that further releases were not a top priority for the agency.

Total stockpiles fell by approximately 800,000 barrels last week to 283.8 million barrels, the lowest level since October 1982. This depletion follows a 172 million barrel draw ordered in March to counteract tight global markets. Much of that oil was provided as loans to companies including Shell, Trafigura, and Marathon, which must replenish the reserves with at least 18% more crude by September 2028.