Oil Prices Surge as US Output Hits Record High

Brent crude oil prices remained steady near $80 a barrel as concerns over higher inventories and record output in the United States outweighed worries about global trade disruptions in the Red Sea. The US Energy Information Administration reported a rise in US crude inventories and record output, dampening market sentiment. While major maritime carriers are avoiding the Red Sea route, the impact on oil supply has been limited so far as most Middle East crude is exported through the Strait of Hormuz. The redirection of vessels around South Africa's Cape of Good Hope may increase transport and insurance costs, potentially fueling global inflation.