Oil Slips Below $65 as Iran Deal Talks Spark Supply Worries, What It Means for Indian Markets?
Crude oil prices cooled off sharply, with Brent falling below $65 after a 2.4% drop and its biggest one-day fall this month, while WTI hovered near $62. The pressure comes from renewed hopes of a US-Iran nuclear deal, which could unlock additional Iranian supply into an already oversupplied market. The International Energy Agency also expects fresh supply from OPEC+ to outpace demand growth, setting the stage for a global glut. Despite recent gains driven by optimism over US-China trade relief, oil remains down over 10% year-to-date.
The Brent futures curve also reflects bearish sentiment, with near-term contracts trading at a discount to longer-dated ones. For Indian markets, lower oil prices are a short-term relief, potentially easing inflation, reducing import bills, and benefiting oil-intensive sectors like