Oil prices pull back from session highs near $77.55 as traders assess risks to Middle East supply routes.
West Texas Intermediate (WTI) futures on NYMEX retreated from intraday highs but remained 1.6% higher at $77.55 during European trading on Monday. The pullback followed earlier gains driven by concerns over potential disruptions in the Strait of Hormuz, a critical oil transit chokepoint.
Prior to the retreat, WTI had climbed on fears of prolonged supply constraints amid geopolitical tensions. Market consensus had anticipated volatility as traders weighed the impact of any prolonged closure or delays in the strait, which handles about one-fifth of global oil shipments.
No immediate market reaction was specified, though the price action reflects cautious positioning ahead of further clarity on the situation.