Oil prices fall in global markets

Oil prices have fallen in global markets after the signing of a ceasefire agreement between Israel and Hamas. The decline in the oil market was seen on Friday as geopolitical risks in the Middle East have eased somewhat.

Brent crude prices fell 66 cents, or 1 percent, to $64.56 a barrel at 10:16 a.m. (GMT) in London. On the other hand, the price of West Texas Intermediate (WTI) oil in the United States fell 61 cents, or 1 percent, to $60.90 a barrel.

SEB Bank's chief commodity analyst Bjarne Schildrop said that the market has been somewhat relieved as the peace process in the Middle East has begun.

He commented that this will also reduce the risk of oil tankers passing through the Suez Canal and the Red Sea.

However, Brent prices are still up about 1 percent for the week, while WTI is relatively stable. Both indices saw big declines last week.

On Thursday, Israel and the Palestinian independence movement Hamas signed a first-phase ceasefire deal in the Gaza war, brokered by US President Donald Trump. Under the deal, Israel will partially withdraw its troops from Gaza and release all Israeli prisoners held by Hamas, in exchange for Israel releasing hundreds of Palestinian prisoners.

Source: Reuters