Oil Prices Continue to Decline .. Brent Hovers around $85

Oil prices continued to fall, with a ceasefire in the Middle East likely to ease tensions, while signs of high inflation weigh on US demand expectations ahead of the Federal Reserve meeting.

The price of Brent crude approached $85 per barrel in trading after losing 1% yesterday, while West Texas Intermediate crude (WTI) exceeded $81. 

Latest Oil Prices

WTI CRUDE             $79.30  -3.21%

BRENT CRUDE       $83.77   -2.97%

LOUISIANA LIGHT $86.79   -0.88%

MARS US                 $77.26  -1.92%

Meantime, trading volumes were thin in Asian trading, with official holidays in countries including China and Singapore.

Crude oil is starting May on a roll after a difficult April that saw it rise to the highest level since October in the wake of the unprecedented Iranian attack on Israel. 

While OPEC+ supply constraints are also supporting prices, uncertainty over US monetary policy and weakness in fuel markets including diesel are adding to the headwinds.

In another sign of the downward trend, US crude inventories increased by 4.9 million barrels last week, according to the American Petroleum Institute. This would be the fifth growth in six weeks.