16.03.202613:21:34UTC+00WTI Falls 3% as Strait of Hormuz Tensions Ease

WTI crude oil futures fell more than 3% to $95.30 per barrel on Monday, breaking a three-day rally of 17.4%, as fears of a prolonged closure of the Strait of Hormuz eased. The shift in sentiment followed the successful passage of a Pakistani oil tanker and two LPG carriers through the strategic chokepoint over the weekend. India is in talks to move six additional vessels through the strait, while the US has permitted Iranian tankers to transit, collectively helping to stabilize global supply flows.

Tanker traffic had previously slumped as Iran stepped up targeting of commercial vessels. Despite the heightened tensions and a strong US Navy presence in the region, Iran continues to export around 1.5 million barrels of crude per day. President Trump has called on countries dependent on the Strait of Hormuz to participate more actively in safeguarding maritime shipments along this vital corridor, which historically has handled about 20% of global oil trade.

The ongoing conflict has triggered what is described as the largest disruption to oil supplies in history. The port of Fujairah suffered another drone strike that again halted exports, while persistent Iranian attacks across the Persian Gulf have added to regional instability and led to flight suspensions in Dubai.