WTI Crude Prices Reverses as US Inventory Build Trumps Hormuz Fears
The West Texas Intermediate (WTI) US Oil price reversed lower on Wednesday and was trading around $81.60 at the time of writing, down 0.77% on the day.
The price decline comes despite mounting concerns about global supply disruptions due to tensions between the United States and Iran in the Strait of Hormuz.
Iran's Supreme National Security Council Secretary Mohsen Rezaei stated that Tehran will keep the strategic waterway closed until its conditions are met, which include an end to the US war and blockade, the release of frozen Iranian assets, and a regional ceasefire.
The prolonged disruption is affecting the global oil market, with the International Energy Agency (IEA) forecasting a 4.3 million barrel per day decline in global oil supply this year, representing a 4% contraction from last year's levels.