Crude oil prices fell sharply on Friday, with Brent crude dropping $1.47, or 1.95%, to $73.79 a barrel, while US West Texas Intermediate (WTI) declined $1.44, or 2%, to $70.48 a barrel.
The sell-off reflects a rapid repricing of supply risk as reports confirm that tanker traffic through the Strait of Hormuz is returning to normal levels.
This dichotomy—operational normalization versus persistent threat—has left traders cautious, with both benchmarks headed for losses of around 8% for the week.
Stranded vessels are moving again, easing the immediate bottleneck that had driven premiums higher earlier in the week.
The market’s retreat comes despite a new security incident: a vessel was hit near Oman, highlighting that while the acute disruption has eased, the underlying geopolitical tension remains unresolved.
This dichotomy—operational normalization versus persistent threat—has left traders cautious, with both benchmarks headed for losses of around 8% for the week.
The sharp decline suggests that the market is prioritizing the return of flow over the risk of future interruptions.