Global Oil Prices Plummet on Hopes of Resumed Hormuz Shipping, Returning to Pre-War Levels

Global oil prices fell for the fourth consecutive day on June 24 (local time), returning to levels seen before the conflict between the United States and Iran.

Oil prices saw a sharp decline of around 4% due to expectations of restored transit through the Strait of Hormuz and eased concerns over supply.

On the ICE Futures Europe exchange, the settlement price for Brent crude for August delivery fell 4.33% from the previous session to $73.74 per barrel.

On the New York Mercantile Exchange, the settlement price for West Texas Intermediate (WTI) crude for August delivery dropped 3.92% from the previous session to $70.34 per barrel.

Both Brent and WTI reached their lowest levels since February 27, the day before the U.S.-Iran war broke out.

Oil prices faced downward pressure today as expectations grew that crude oil supplies previously trapped in the Gulf would return to the market following progress in negotiations between the U.S. and Iran.

According to shipping data, three oil tankers carrying 5 million barrels of crude oil have exited the Strait of Hormuz, with two of them reportedly heading toward Asia.

Furthermore, expectations for a supply recovery were bolstered by forecasts of increased Iranian oil sales due to U.S. sanctions waivers, as well as Oman’s measures to support safe passage and the easing of hostilities in Lebanon.

Tim Waterer, chief market analyst at KCM Trade, explained, "The broader scenario of Iranian oil re-entering the global market and the situation in the Strait of Hormuz normalizing is being priced into the market."
※ Please note: This article was translated by AI and may contain errors.