Brent touches $110 a barrel for the first time since May as diesel futures settle at $4.90

Brent crude touched $110 a barrel for the first time since May on Friday as escalating conflicts tightened supply concerns and traders weighed how much diesel Russia can actually supply to the global market, according to Bloomberg on Oct. 16.

Brent settled $3.94 higher, up 3.7%, at $109.86 a barrel, its highest settlement since May 19, while U.S. West Texas Intermediate closed $3.44 higher, up 3.5%, at $101.41, according to Reuters reporting of the same session. For the week, Brent rose 4.9% and WTI rose 10.4%. Crude has risen more than 75% this year, according to Bloomberg.

The move that matters most at the pump came in refined products. Diesel and gasoline futures also rose on Friday, with diesel settling at $4.90 a gallon in New York, and Bloomberg reported that contracts for both commodities are trading at the highest levels ever for this season. Continued exclusion of Russian diesel is forcing refineries elsewhere to process more crude to meet demand, and a reported strike on Russia's Ryazan refinery amplified doubts that the promised Russian release will deliver as billed.

Washington's efforts to add supply continued the same day. The United States offered up to 17 million barrels from the Strategic Petroleum Reserve on Friday, while U.S. lawmakers introduced a bill on Friday to block the president's deal with Moscow to release Russian diesel, reflecting opposition to measures that would add to Russia's war revenues. The president has reiterated that Moscow will follow through with the release.

For carriers, the Friday session points the wrong way for near-term fuel relief: wholesale diesel is at its highest seasonal level on record.