Crude oil markets reversed their recent upward trajectory on Thursday, with West Texas Intermediate (WTI) futures sliding 3.5% to settle at $92.64 a barrel.
The broader complex trimmed roughly 3%, marking a significant pullback from levels driven by fears of a prolonged supply disruption in the Middle East.
The sell-off was triggered by reports that former US President Donald Trump claimed a record 19 million barrels of oil flowed through the Strait of Hormuz on Monday.
The sell-off was triggered by reports that former US President Donald Trump claimed a record 19 million barrels of oil flowed through the Strait of Hormuz on Monday.
This assertion, made on Tuesday, suggested that the critical chokepoint remains operational despite ongoing tensions, directly countering market narratives of a potential blockade or severe restriction.
Global crude benchmarks had retreated earlier in the week following these claims, as traders recalibrated risk premiums associated with Iranian tensions.
The market’s reaction underscores the sensitivity of energy prices to real-time shipping data and geopolitical signaling, with investors quickly unwinding positions built on worst-case supply scenarios.