Oil prices have seen a decline for the second consecutive day, following statements from US President Donald Trump indicating significant advancements in negotiations with Iran.
Earlier this week, oil prices surged sharply, with Brent crude exceeding $114 per barrel due to attacks and incidents in the region that threatened approximately 20% of global maritime oil transport.
However, prices have since retreated, with Brent falling to around $109-110 and WTI dropping to about $102. This shift is attributed to signals suggesting a continued truce between Iran and the US, alongside Washington’s efforts to stabilize shipping routes.
The market is responding to mixed news: while military risks and infrastructure attacks persist, there are also attempts to ensure safe passage for tankers and prevent a full-scale conflict.
Analysts note that the risk premium remains high due to ongoing instability in the region, which could deteriorate rapidly. Conversely, any signs of de-escalation tend to exert downward pressure on prices.
Another influencing factor is the outlook for demand and the global economy. Despite geopolitical tensions, robust corporate earnings in the US are bolstering financial markets and somewhat alleviating investor panic.
Experts caution that future movements in the oil market will largely depend on developments in the Persian Gulf conflict and the ability to avoid supply disruptions.
Global oil prices are experiencing a decline as negotiations between the US and Iran show progress. Despite earlier surges due to regional tensions, current market dynamics reflect a complex interplay of geopolitical risks and economic factors.