Global Brent oil prices fall again on Thursday as traders responded to shifting geopolitical expectations and economic data from major economies.
Brent crude from the North Sea fell by 44 cents and traded at $94.49 per barrel. Meanwhile, U.S. West Texas Intermediate (WTI) dropped by 70 cents to $90.59 per barrel. The decline reflects cautious market sentiment despite ongoing supply risks.
At the same time, Iran has proposed extending the ceasefire, which could allow ships to pass more freely through the Strait of Hormuz via the Gulf of Oman. This potential easing of maritime tensions has helped reduce immediate fears of major supply disruptions.
The White House also expressed optimism about reaching a possible agreement with Iran. However, U.S. officials stressed that economic pressure on Tehran will continue until a clear deal is achieved. This mixed messaging has added uncertainty to global energy markets.
Although concerns remain about the Strait of Hormuz, which plays a key role in global oil shipments, expectations of a diplomatic breakthrough between Iran and the United States have weighed on prices. Traders now see a reduced risk of long-term supply shortages if negotiations succeed.
At the same time, analysts urge caution. Toshitaka Tazawa, a financial markets expert at Fujitomi Securities, said investors continue to trade carefully because the chances of a final agreement remain uncertain. He noted that markets still lack confidence in a stable diplomatic outcome.
He added that unless peace becomes more stable and shipping routes through the Strait of Hormuz fully normalize, oil prices are likely to stay within a range of $80 to $100 per barrel.
Brent oil crude prices from the North Sea fall 44 cents. It traded at $94.49 per barrel. U.S. West Texas Intermediate also declined. It fell 70 cents to $90.59 per barrel.
Market sentiment stayed cautious. Investors monitored developments between Iran and the United States. Iran proposed extending a ceasefire. This move could allow ships to pass more easily through the Strait of Hormuz via the Gulf of Oman.
This proposal reduced fears of immediate supply disruptions. As a result, oil prices moved lower. Traders saw less risk in the short term.
The White House also expressed cautious optimism. It suggested a possible agreement with Iran could still happen. However, U.S. officials confirmed that economic pressure on Tehran will continue until a clear deal is reached. This mixed message increased uncertainty in energy markets.
The Strait of Hormuz remains a key shipping route. Any disruption there affects global oil supply. Even so, hopes for diplomacy between Iran and the United States reduced price pressure.
Analysts still urge caution. Toshitaka Tazawa, a market expert at Fujitomi Securities, said investors remain careful. He explained that a final agreement between Iran and the U.S. is still uncertain.
He added that markets do not trust a stable outcome yet. Because of this, traders continue to avoid strong long-term positions.
Tazawa also said oil will likely stay between $80 and $100 per barrel. This range depends on security in the region and shipping stability through Hormuz.
Elsewhere, China’s economy grew by 5% in the first quarter. This growth supports global demand expectations. A World Bank official also warned that the Iran conflict has increased global hunger risks by 20%. This adds further pressure to the global outlook.
