Oil Prices Decline at Settlement Amid Strait of Hormuz Closure

Doha: Oil prices fell sharply today, but are still on track for weekly gains as the Strait of Hormuz remains closed. Brent crude futures for July delivery fell $2.23, or 2.02 percent, to settle at $108.17 a barrel. West Texas Intermediate crude futures fell $3.13, or 2.98 percent, to $101.94, with both still on track for a weekly gain. According to Qatar News Agency, Brent crude for June delivery hit $126.41 a barrel before its expiry yesterday, marking its highest level since March 2022. The closure of the Strait of Hormuz, a critical chokepoint for global oil shipments, has played a significant role in influencing market dynamics, although the prices saw a decline today. The market has experienced volatility in recent days, driven by geopolitical tensions and supply disruptions. The continued uncertainty surrounding the Strait of Hormuz has kept traders on edge, propelling prices to recent highs before the recent dip. The ongoing situation at the strait is expected to keep influencing oil prices in the ne ar term.