The price of Brent crude oil has fallen below the level that existed before the start of the war with Iran, as a wave of accumulated oil inventories has begun entering the market from the Persian Gulf. This has led traders to discount the risks of possible consequences from the crisis. This was reported by the Financial Times.
The price of Brent crude dropped below $72.48 per barrel — the level at which it was trading at the end of February, before the conflict with Iran began.
On Thursday, the international benchmark declined by 1.8% to $72.40 per barrel. Traders were willing to pay more for oil to be delivered later this year, which is a clear sign that the market is experiencing an oversupply in the short term.
This was the first time since the start of the war that oil prices fell below $72.48 — the level at which they closed on the eve of the U.S. and Israeli bombing campaign against Iran at the end of February.
According to Windward, which tracks ship movements, 31 tankers departed the Persian Gulf on Wednesday — nearly 50% more than the day before.
On Thursday, the naval forces of Iran's Islamic Revolutionary Guard Corps stated that coordination with them is "mandatory" for vessels passing through the Strait of Hormuz and warned against the use of any unauthorized routes.
Oil prices have been steadily declining since reaching a peak of $126 per barrel in March, as traders bet that the United States would not be able to continue a war that could result in significant economic losses.