Oil retreats amid Hormuz relief

March 27, 2026 (MLN): Global oil prices edged lower on Friday after signs of limited easing in geopolitical tensions surrounding the Strait of Hormuz helped calm immediate supply concerns.

Currently, Brent crude futures went down by $0.40, or 0.37%, to $107.61 per barrel, according to data by Mettis Global.

West Texas Intermediate (WTI) crude futures decreased by $0.59, or 0.62%, to $93.89 per barrel by [10:43 pm] PST.

The dip followed remarks by Donald Trump, who revealed that Iran had permitted a number of oil tankers to transit through the strategic waterway earlier this week.

Speaking during a cabinet meeting, Trump described the move as a goodwill gesture amid ongoing diplomatic engagement between Washington and Tehran.

According to Trump, the initial arrangement involved several vessels, which later increased to a total of ten tankers.

He framed the development as a signal of cooperation, suggesting it showed Iran’s intent to demonstrate constructive engagement during a sensitive period.

The comments provide further clarity on earlier statements by the U.S. president, in which he hinted at a “positive development” involving oil and gas flows without offering specifics, according to CNBC.

The Strait of Hormuz remains one of the world’s most critical energy corridors, facilitating a substantial share of global crude exports. Any disruption or easing in tensions around the passage has an immediate impact on market sentiment and pricing.

Market participants have been closely tracking developments in the region, as fluctuating tensions between the United States and Iran continue to drive volatility in global energy markets.

The resumption of limited shipments has helped alleviate short-term supply fears, contributing to the downward pressure on prices.

However, the broader outlook for oil remains uncertain. Despite recent resilience, underlying market conditions have weakened due to sustained supply disruptions and declining inventories.

Estimates indicate that around 17.8m barrels per day of oil and fuel flows through the Strait of Hormuz have been affected, with cumulative losses nearing 500m barrels of total liquids.

While the latest developments suggest a temporary reprieve, any renewed escalation in the region could quickly reverse the current trend, keeping oil markets on edge in the near term.

Copyright Mettis Link News