Oil prices experienced a significant decline, with Brent crude falling below $90 a barrel, as tensions in the Middle East eased following Israel’s withdrawal of soldiers from southern Gaza and the initiation of fresh talks on a potential ceasefire.
Brent crude futures dropped by $1.42, or 1.6%, to $89.75 a barrel, while U.S. West Texas Intermediate crude was at $85.59 a barrel, down $1.32, or 1.5%. The reduction in tensions comes after Israel’s move to deescalate following international pressure and discussions of a potential ceasefire with Hamas ahead of the Eid holidays, alleviating concerns of supply disruption that had driven oil prices up by over 4% the previous week.
Oil Prices Fall Nearly 2% as Middle East Tensions Ease