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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
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Sign InIn a sudden shift for global energy markets, Brent crude prices pulled back by approximately $5 per barrel after hitting a five-week high. This sharp reversal erased all overnight gains, driven by emerging signals of potential diplomatic actions that could de-escalate geopolitical tensions. According to reports, the price retreated significantly after briefly breaching the $90 threshold earlier in the session.
This price correction follows a robust performance last week where Brent crude recorded a 13% advance amid fears of supply disruptions in the Strait of Hormuz. Per market data, West Texas Intermediate (WTI) prices showed similar volatility as traders weighed diplomatic prospects, while Goldman Sachs analysts maintain that prices could still reach record highs if de-escalation efforts falter.
Following the recent close, traders are monitoring whether prices will stabilize ahead of the OPEC meeting on July 13, 2026. Markets will also focus on speeches from Fed officials Bowman and Waller on the same day, as their assessment of energy price volatility will be key to understanding future U.S. monetary policy and inflation trajectories.
Update: Brent crude reached $90.79 per barrel, its highest level since June 11, following a 15.9% weekly gain, while WTI rose 2.65% to $84.68. The price momentum follows a ninth night of US strikes, amid reports from Kuwait and Bahrain regarding new Iranian attacks.
Update: Recent reports indicate that maritime traffic in the Persian Gulf has ground to a near-total halt, marking a severe escalation beyond previous shipment curbs. This total cessation places further strain on global supply chains and heightens the potential for sustained upward pressure on energy prices.