Oil Prices Fall as US Signals Strait of Hormuz Flexibility
Oil prices fell on Monday after the US Treasury said some vessels could pass through the Strait of Hormuz. The IEA also signaled potential reserve releases.
Oil prices retreated on Monday as the United States signaled a willingness to permit specific vessels from Iran, India, and China to transit the Strait of Hormuz. This development, combined with the prospect of further emergency reserve releases, provided some relief to a market rattled by geopolitical conflict.
Brent Crude Oil Futures declined by $1.46, or 1.4%, to reach $101.68 per barrel. Simultaneously, WTI Crude Oil Futures dropped $3.95, or 4%, to settle at $94.76. These price corrections follow a sharp rally that saw both benchmarks climb more than 40% since the military engagement involving Israel began in late February.
