WASHINGTON: Oil prices declined in early Asian trading on Tuesday, offering some relief to regional markets after days of sharp volatility driven by the conflict involving the United States, Israel, and Iran.
Brent crude fell by around 8.5 percent to about $92.50 per barrel at the start of the trading session. Meanwhile, US benchmark crude dropped nearly 9 percent to approximately $88.60 per barrel, reports BBC.
Despite the decline, oil prices remain significantly higher than they were before the outbreak of hostilities. Prices are still about 30 percent above levels recorded when the United States and Israel began military operations against Iran.
The latest drop came after US President Donald Trump said on Monday that the war could end soon.
Speaking to reporters, Trump said the conflict would be resolved “very soon,” a remark that appeared to ease some concerns in global energy markets.
The fall in oil prices also provided a boost to Asian stock markets at the start of trading.
In Japan, the benchmark Nikkei 225 rose by about 2.8 percent. Meanwhile, South Korea’s KOSPI climbed more than 5 percent.
Asian markets had previously come under heavy pressure due to the surge in oil prices, as many economies in the region depend heavily on crude imports from Gulf countries.
Analysts say fluctuations in oil prices linked to the conflict continue to influence investor sentiment and regional market stability.
