India
oi-Prakash KL
Oil prices extended their decline on Wednesday, hovering near four-month lows, amid growing signs that tankers previously blocked during the Iran conflict have started transiting the Strait of Hormuz once again.
Brent crude dropped to $75.66 a barrel, while U.S. West Texas Intermediate (WTI) fell to $71.85, marking the third consecutive session of losses.
Oil prices declined towards four-month lows, with Brent at $75.66 and WTI at $71.85, as tankers resumed transit through the Strait of Hormuz. Experts caution that logistical challenges and depleted inventories mean a return to market stability may take time, potentially until 2027.
| Futures & Indexes | Last | Change |
|---|---|---|
| WTI Crude | 71.90 | -1.31 |
| Brent Crude | 75.70 | -1.38 |
| Murban Crude | 68.02 | -1.61 |
| Natural Gas | 3.157 | +0.010 |
| Gasoline | 2.903 | -0.056 |
| Heating Oil | 3.118 | -0.037 |
| WTI Midland | 72.33 | -1.34 |
| Mars | 84.93 | -2.10 |
| Opec Basket | 81.59 | -1.57 |
| DME Oman | 70.94 | -3.18 |
| Mexican Basket | 72.13 | -1.59 |
| Indian Basket | 75.28 | -3.10 |
| Urals | 64.42 | -2.16 |
| Western Canadian Select | 60.86 | -0.65 |
| AECO C natural gas | 1.150 | -0.100 |
| Dubai | 80.35 | -0.93 |
| Brent Weighted Average | 78.60 | -1.26 |
| Louisiana Light | 82.18 | +0.86 |
| Domestic Swt. @ Cushing | 71.30 | -1.78 |
| Giddings | 65.05 | -1.78 |
| ANS West Coast | 89.90 | +0.21 |
| Gulf Coast HSFO | 74.86 | -0.91 |
| Ethanol | 1.820 | -0.010 |
| Dutch TTF Natural Gas | 14.07 | +0.41 |
| LNG Japan/Korea Marker | 15.86 | +0.54 |
Source: oilprice.com
Despite the price drop, experts caution that a swift return to normal operations remains unlikely. Restoring full traffic through the Strait involves far more than simply clearing a path for vessels.
It requires coordinated scheduling, the resumption of halted production, infrastructure repairs, and safe passage through waters that may still carry security risks. Several shipping firms remain hesitant to immediately redeploy their fleets.
Analysts also point out that global oil inventories were significantly drawn down during the disruption and will need time to be replenished. Stockpiles could continue shrinking in the near term before Gulf supplies flow more freely to international markets. In other words, while prices have fallen sharply, the market is not yet out of the woods.
Adding to the uncertainty, Saudi Aramco CEO Amin Nasser warned last month that a prolonged closure of the Strait could delay market stability until 2027. He noted that any extended interruption in this critical chokepoint could disrupt nearly 100 million barrels of supply per week.
