BAKU, Azerbaijan, June 15. The dissemination of
information regarding a potential peace agreement between the
United States and Iran has triggered significant volatility in
global energy markets.
According to exchange data, oil prices declined sharply amid
growing investor expectations of easing geopolitical tensions in
the Middle East.
As of 10:40 (GMT +4), August futures of Brent oil on the London
ICE exchange fell by $4.09, or 4.68%, to $83.24 per barrel. In the
previous trading session, Brent oil lost $3.05, or 3.37%, to
$87.33.
On the New York Mercantile Exchange (NYMEX), July WTI crude
futures dropped by $4.27, or 5.03%, to $80.61 per barrel. In the
prior session, WTI had decreased by $2.83, or 3.23%, to $84.88.
According to experts, the main pressure on the market is caused
by news that relations between the U.S. and Iran will normalize.
Analysts believe that if a possible agreement is reached between
the parties, it will be possible for Iranian oil to return to the
international market in larger volumes. This leads to an increase
in global supply and a decrease in prices.
At the same time, news that the Strait of Hormuz will resume
full operation has also reduced panic in the market. This factor is
also assessed as a decrease in risks in energy markets.
Oil prices have risen rapidly in recent days due to rising
military and political tensions in the Middle East. However, with
the activation of diplomatic channels between Washington and
Tehran, the situation in the markets has begun to change in the
opposite direction.
The price of Azerbaijan’s Azeri Light crude at Italy’s Augusta
port, on a CIF (Cost, Insurance, and Freight) basis, decreased by
$6.35, or 6.57%, on June 13 from the previous level, coming in at
$90.5 per barrel.
Azerbaijan’s 2026 state budget is based on an average oil price
of $65 per barrel.
