Oil prices slide after steepest quarterly drop since 2020
Oil prices have fallen sharply, posting their steepest quarterly decline since 2020, as easing Middle East tensions and surging supply weigh on the market.
Benchmark Brent crude steadied around $73 a barrel, while US crude slipped toward $68, extending a slide that has brought welcome relief to fuel importers. The drop marks a dramatic reversal from earlier in the year, when prices spiked above $120 amid conflict involving Iran.
Several factors have driven the decline. Iran said it had shipped more than 40 million barrels of oil since a US naval blockade was lifted, while Russian exports have surged to record levels, leading to a build-up of crude at sea. Investors have also been watching US-Iran talks in Doha aimed at easing tensions over the Strait of Hormuz.
The fall in oil prices has rippled across the world. In Africa, it has fed through to lower pump prices in countries including South Africa and Nigeria, easing inflationary pressures for consumers and businesses.
For oil-exporting economies, however, the slide is a double-edged sword, squeezing government revenues that many depend on. The outlook remains uncertain, hinging on the durability of the fragile calm in the Middle East and the pace of global demand.
