WTI crude slips to $71.85 as easing U.S.-Iran supply fears support risk sentiment

Oil fell 0.3% in early Asian trade as investors took reassurance from no reported U.S. strikes on Iranian energy infrastructure, while softer crude helped steady Asian currencies and ease inflation concerns.

Summary

Front-month WTI crude oil futures fell 0.3% to $71.85 a barrel in early Asian trade as investors judged U.S.-Iran tensions may remain contained. ANZ Research said expectations of limited military attacks and the Trump administration’s decision not to target Iranian energy infrastructure helped reduce immediate crude supply concerns. The pullback in oil also supported a broader risk-on tone in Asia, with OCBC Group Research saying softer crude eased inflation fears and reduced support for the U.S. dollar. LSEG data showed the dollar was little changed at 162.35 yen and flat at 1.2922 Singapore dollars.

Terms & Concepts
  • WTI crude: West Texas Intermediate, a benchmark grade used to price U.S. crude oil futures.
  • risk-on sentiment: Investor preference for higher-risk assets as confidence in market conditions improves.
  • greenback: Common market term for the U.S. dollar.