Oil prices retreat after two days of gains, with geopolitical risks in the Middle East capping deeper losses.
West Texas Intermediate crude fell nearly 2% to around $73.10 on Thursday, retreating from recent highs as traders locked in profits after a two-day rally. The decline follows a period of upward momentum in oil markets, driven by supply concerns and geopolitical tensions.
Prior to the drop, WTI had climbed above $74, supported by Middle East risks and tighter market conditions. Analysts noted that while profit-taking weighed on prices, ongoing geopolitical uncertainties limited the downside.
Markets remain cautious as investors assess the balance between supply risks and demand outlook amid broader macroeconomic uncertainties.