West Texas Intermediate falls to $69.65, the lowest since late February, as supply expectations weigh on prices amid easing geopolitical tensions.
West Texas Intermediate crude trades at $69.65, extending a sell-off that has pushed prices down over 30% since late May. The decline follows expectations of increased supply from Middle Eastern producers and a partial reopening of the Strait of Hormuz, a critical oil transit route.
Oil flows through the Strait of Hormuz have returned to pre-war levels, with 20 million barrels crossing the waterway on Wednesday, according to officials. Additional supply from Venezuela and Iran, where U.S. restrictions were recently waived, further pressures prices despite rising seasonal demand.
Investors anticipate a gradual replenishment of global oil reserves, though normal flows may take weeks to fully resume. The market remains focused on supply dynamics as geopolitical risks ease.