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Oil Markets Are Pricing A Supply Surge That Isn’t Guaranteed

News | 2026/06/29 03:00

Oil Markets Are Pricing A Supply Surge That Isn’t Guaranteed

Oil prices are falling as the supply surge is in question

Oil prices are tumbling as tankers stream out of the Strait of Hormuz, but most of that traffic consists of stranded vessels finally allowed to leave.

Iran struck a commercial ship near Oman this week, even as the 60-day U.S.-Iran ceasefire holds. Markets are pricing in a supply glut, but actual supply remains uncertain.

Analysts note that China may resume buying oil once it finishes selling off its current cargoes. The Iranian strike on a commercial vessel could raise concerns among market players.

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