Oil Prices Fall as West Asia Calms Down

As tensions in West Asia ease, ship movements through the Strait of Hormuz — a crucial artery for global oil transport — have picked up pace. This development has led to a sharp decline in global oil prices over the past few days. Brent crude has now fallen back to pre US-Iran conflict levels, offering relief to markets. On Thursday morning, Brent crude dropped to $72.28 per barrel, marking a notable 4% decline compared to the previous session. Meanwhile, West Texas Intermediate (WTI) crude slipped 1.69% to $69.15 per barrel, falling below the $70 mark for the first time in recent weeks. According to the US Energy Department, at least 20 million barrels of oil passed through the Strait of Hormuz in the last 24 hours, and shipments are expected to return to pre-war levels soon. The decline in crude prices is attributed to easing geopolitical tensions and potential relaxation of US sanctions on Iranian oil.

Gold and silver prices have also witnessed a downward trend in the international market. Gold fell to $3,996 per ounce, while silver was trading at $57.35 per ounce. In Hyderabad, the price of 24-carat gold stood at ₹1.44 lakh per 10 grams, while silver dropped to ₹2.22 lakh per kilogram. On the Multi Commodity Exchange (MCX), gold futures were trading at ₹1.41 lakh per 10 grams, and silver futures at ₹2.13 lakh per kilogram. Meanwhile, domestic stock markets continued to trade in positive territory on Thursday. Supported by global cues and buying in banking and realty sectors, the Sensex rose 511.62 points to 77,502, while the Nifty gained 150 points to reach 24,172. The Indian rupee also strengthened by 22 paise to 94.33 against the US dollar.