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.
