Oil drilling rigs
Oil prices fell sharply in Monday trading after US President Donald Trump postponed a new military strike on Iran in a bid to reach an agreement that would ensure the reopening of the Strait of Hormuz to maritime traffic.
The decline followed Trump’s statement on Truth Social that Iran and other Middle Eastern countries had requested additional time to finalize a deal that would lead to the “immediate and complete reopening” of the strait and eliminate the Iranian nuclear threat, Reuters reported.
Meanwhile, OPEC+ agreed on Sunday to increase oil production quotas by 188,000 barrels per day starting in September, as part of its gradual rollback of a portion of voluntary output cuts.
The latest developments come after crude oil prices surged more than 20% last month. Markets are now awaiting the release of the US ISM Manufacturing PMI later today.
Changes in benchmark crude futures
Crude (Contract)
Price (USD/barrel)
Change (USD)
Change (%)
Brent (October)
83.36
(4.57)
(5.20%)
WTI (September)
79.59
(5.08)
(6.00%)
*Prices as of 7:51 a.m. Makkah time.
https://www.argaam.com/en/article/articledetail/id/1925346
