Oil prices fall on Tuesday

Oil prices fell on Tuesday, with Brent crude futures down 1.1 per cent to $105.47 a barrel and US West Texas Intermediate (WTI) crude declining 1.3 per cent to $92.57 by 0625 GMT.

The declines came as traders weighed the prospect of additional Russian diesel supplies against concerns over disruptions to Middle East energy infrastructure and shipping routes following attacks on Saudi Arabia and vessels near the Strait of Hormuz.

US President Donald Trump said Russia had agreed to supply diesel to global markets, while his administration temporarily lifted US sanctions on Russian fuel. The additional supplies could ease tightness in global fuel markets, although uncertainty remains over the Russia-Ukraine energy ceasefire.

Meanwhile, recent attacks have heightened concerns over the security of Gulf energy infrastructure and shipping lanes, threatening the recovery in Middle East oil supplies.

The Organisation of the Petroleum Exporting Countries (OPEC) has also lowered its forecast for global oil demand growth this year to 400,000 barrels per day, down from 1.4 million barrels per day at the start of the year, Secretary-General Haitham Al Ghais said on Monday.

Attribution: Reuters