Crude oil (symbolic picture)Image Credit source: AI generated
A slight decline was seen in international oil prices on Friday amid the ongoing tension between Iran and America-Israel. This decline came after the news that Iran had sent a new proposal for talks with America. This proposal has been sent to America through Pakistan, which has increased the hope of finding a diplomatic solution.
Despite slight softening in the oil market, prices still remain at high levels. For the month of July, the price of Brent crude fell by 44 cents or about 0.4% to $ 109.96 per barrel. At the same time, the price of West Texas Intermediate (WTI) fell by $ 2.48 or 2.4% to $ 102.59 per barrel. However, despite this decline, oil prices have remained strong throughout the week.
Strait of Hormuz has not opened yet
According to experts, the concerns related to supply are still not over. Iran is restricting the movement of ships in the Strait of Hormuz to some extent, due to which the oil supply is being affected. In addition, US Navy actions are also limiting Iran’s oil exports.
What will be the situation next?
According to Iran’s government news agency IRNA, on Thursday Iran sent a new proposal for talks to America through Pakistan’s mediators. This indicates that the possibility of dialogue between the two countries can be created again. If we talk about the whole week, then Brent crude prices may see an increase of about 4.5%, while WTI is expected to rise by about 8.9%. On Thursday, the price of Brent crude reached $ 126.41 per barrel, which was the highest level since March 2022. However, by the end of the day the prices declined slightly.
