MUSCAT: Oman oil price (June delivery 2024) yesterday reached $90.42 per barrel, comprising a rise by 83 cents compared to the price on Monday, which stood at $89.59. The average price of Oman oil (April delivery 2024) has stabilised at $80.85 per barrel, thus $2.10 per barrel higher than March delivery 2024.

Meanwhile, Brent oil edged lower on Tuesday as easing concern about supply risks and a rapidly escalating conflict after Iran’s weekend attack on Israel offset data showing China’s economy grew faster than expected in the first quarter.

Also weighing was stronger-than-expected US retail sales for March that further reinforced expectations the US Federal Reserve is unlikely to rush to cut interest rates, a scenario that dampens the prospects for oil demand.

Brent futures for June delivery fell 33 cents, or 0.4%, to $89.76 a barrel by 1140 GMT. US crude for May slipped 38 cents, or 0.4%, to $85.03.

“The balancing act between sticky inflation, a hesitant Fed and the gradual move towards a full-blown regional conflict keeps oil…in its range,” said Tamas Varga of oil broker PVM.

“Material disruption to oil production, supply or shipping must take place to approach the $100 a barrel milestone. Currently such a development appears implausible.”

Concern that Iran would respond to the strike on its embassy compound in Damascus helped send Brent on Friday to $92.18, the highest since October.

Prices, though, fell on Monday after Iran’s attack on Israel proved to be less damaging than anticipated, easing concerns of a quickly intensifying conflict that could disrupt supply.

“As the risk to supply is waning and a military response from Israel looks less likely as more time passes, prices are holding steady,” said Rystad Energy’s Jorge León. “Tensions are high, and either party’s next moves are hard to predict.” — ONA/Reuters