Brent crude prices dropped to $73 per barrel on Wednesday, marking the lowest level for the benchmark since the outbreak of the US-Iran conflict in February.
The decline represents a significant unwinding of the geopolitical risk premium that had propped up energy markets over the past several months.
Crude oil prices fell approximately 3% on Thursday, extending the downward momentum as traders reassessed the probability of a broader regional war disrupting supply routes.
The sell-off accelerated after reports emerged that former U.S. President Donald Trump indicated he would not resume military escalation, effectively reversing a week of gains driven by escalating tensions in the Middle East.
Crude oil prices fell approximately 3% on Thursday, extending the downward momentum as traders reassessed the probability of a broader regional war disrupting supply routes.
Despite the sharp drop in benchmark crude, downstream fuel prices have remained elevated.
Reports from Nigeria indicate that petrol prices have stayed high even as crude crashed, highlighting the lag between wholesale market repricing and retail pump adjustments.