Oil prices fell sharply on Friday after the announcement that the US president Donald Trump Iran reportedly cancelled planned strikes against Iran. This decision helped to ease market concerns about a possible military escalation in the Middle East, a region crucial to global energy supplies.
Crude oil prices fell by more than a dollar during trading as investors reassessed the geopolitical risk weighing on the market. The prospect of a confrontation involving Iran, one of the region's major oil producers, had fueled fears of potential disruptions to global supply.
The price decline comes as traders closely monitor evolving international tensions and oil consumption prospects. Despite this drop, several analysts believe that supporting factors remain in place in the market.
Seasonal demand linked to the summer period could contribute to maintaining prices at relatively high levels in the coming months. Increased travel and rising economic activity in certain regions of the world traditionally boost fuel consumption.
Meanwhile, the Organization of the Petroleum Exporting Countries has revised its forecasts for global demand. The organization has lowered its estimates for oil consumption growth in 2026 to 970,000 barrels per day, signaling an expected slowdown compared to previous projections.
OPEC, however, expressed greater optimism for 2027, raising its demand growth forecasts. This revision reflects hopes for a stronger recovery in energy consumption in the medium term, despite economic and geopolitical uncertainties.
Investors continue to weigh up the still-solid demand outlook against fluctuating geopolitical risks. The decision attributed to Donald Trump has temporarily eased tensions in oil markets, but industry players remain vigilant for any developments that could affect the global balance between supply and demand.
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