Oil Prices Plummet as Saudi Arabia Restores Pipeline

Oil prices have declined for a second consecutive trading session due to decreased concerns over West Asia supply disruptions. Brent crude has dropped below $105 per barrel, with WTI near $101.

The restoration of Saudi Arabia's East-West pipeline is underway, which will significantly alleviate supply fears. The pipeline is expected to be operational at 50% capacity within days and fully restored in six weeks.

This development has contributed to the decline in oil prices, which have risen by approximately 75% this year due to the US-Iran conflict and ongoing Russia-Ukraine hostilities.

The increased costs of petroleum and fuel have intensified global inflationary pressures, leading the Federal Reserve to raise interest rates on Wednesday.