Lates News

Local time on June 24th, the global benchmark oil price Brent crude fell below $76 per barrel, dropping to the level before the outbreak of the Iran war. There are reports that in the early hours of that day, Brent crude fell to as low as $75.50 per barrel, further decreasing from the level on February 27th, the day before the US and Israel launched strikes against Iran. The US crude oil benchmark West Texas Intermediate (WTI) fell to as low as $72.03 per barrel, the lowest level since March 3rd. Market analysis believes that the downward trend in oil prices is related to the expected recovery of shipments through the Strait of Hormuz. Traders say that the market is gradually factoring in the possibility of Iranian oil re-entering the global market and normalizing navigation through the strait. Analysts point out that if the relevant sanctions are relaxed, Iranian oil production and exports could rebound within weeks as a significant amount of oil is stored in tankers. Reports also indicate that hundreds of tankers and over 10,000 sailors were stranded in the Persian Gulf region. Before the war, about 20% of global oil transportation was completed through the Strait of Hormuz. In addition, with the US and Iran reaching agreements and allowing commercial vessels to pass through the strait toll-free within 60 days, maritime traffic has significantly increased this week (CCTV News).