Oil Price Decline on Global Markets

Oil prices on the global market have declined sharply compared to recent months. The price decline is influenced by possible negotiations planned in Doha and expectations related to global demand.

The price of Brent crude oil fell to $72.51 per barrel, which is 22% lower compared to the previous month. American WTI-type oil has also become cheaper. Its price fell by almost 19% and reached $70.36.

Investors suggest that dialogue between the US and Iran could reduce the tensions accumulated over the past four months. However, the situation remains unclear. US President Donald Trump views the Doha meeting as a significant opportunity, while Iran's Foreign Ministry denies the existence of official meetings with the American side. Against this backdrop, Iranian and Omani experts are working on reviewing transit routes through the Strait of Hormuz. Despite this, Iran continues to declare that it may obstruct the movement of vessels that do not adhere to established routes.

Oil price decline is also supported by expectations related to China. It is believed that demand from one of the world's largest oil importers may decrease. However, despite tensions in the region and armed attacks, the transportation of oil and liquefied natural gas at this stage has not been disrupted. On the contrary, last week shipments reached their highest level since the start of the conflict.

Source: Investing.com