The price of crude oil has further been slashed in the global market after the agreement between the US and Iran.
According to international media reports, Brent crude oil and West Texas Intermediate prices fell due to investor concerns and expectations of the normalization of oil supply.
Brent crude oil fell to $78.80 per barrel, while WTI fell to $74.30 per barrel. Experts say that progress in negotiations between the US and Iran has reduced concerns about possible disruptions in the Strait of Hormuz, which has led to signs of stability in the global energy market. Iran is allowed to sell oil and petroleum products until August 21
According to analysts, if the implementation of the agreement between the two countries continues, oil supply may improve, and prices may fall further; however, in the event of renewed tension in the region, it will affect oil prices in the global market. Economists said that the decline in global oil prices could have a positive impact on oil-importing countries, including Pakistan.
Iran assured “free and open transit” through the Strait of Hormuz, which handles 20% of global oil shipments. The US subsequently said it would lift sanctions on Iranian oil. Sanctions Relief: Washington issued a 60-day general license through Aug 21, 2026, permitting the sale of Iranian crude, petroleum products, and petrochemicals. Markets interpreted the talks as lowering the risk of conflict and paving the way for Iranian crude to return to global markets.
