Oil prices edge lower on Thursday

Oil prices edged lower on Thursday as concerns over weaker global demand offset supply risks linked to the continued blockade of the Strait of Hormuz and stalled US-Iran talks.

Brent crude fell 11 cents, or 0.12 per cent, to $88.87 a barrel by 0624 GMT, while US West Texas Intermediate (WTI) slipped 16 cents, or 0.19 per cent, to $83.11 a barrel.

The decline followed a surprise 17.4 million-barrel increase in US crude inventories. At the same time, the Organisation of the Petroleum Exporting Countries (OPEC) lowered its 2026 global oil demand growth forecast to 580,000 barrels per day. The International Energy Agency also projected a 1.6 million bpd contraction in consumption this year.

However, prices remained supported by the lack of progress in US-Iran talks. They were supported by continued uncertainty over the reopening of the Strait of Hormuz, which has disrupted regional supply and shipping.

Attribution: Reuters