Oil prices collapse: WTI, Brent crude drop 10+% March 10: What's happening?
Discrepancy in price movements reflects geopolitical challenges, including Hormuz threats
The WTI crude dropped more than 10% to $85.267 per barrel as of 11.07am in Japan (3:07 am GMT Tuesday), even as other benchmarks like Brent (at $88.570, -10.50%).
Murban crude stood at $110.17 (up +6.71%).
The discrepancy in price movements reflect the sharp volatility from escalating US-Israel-Iran tensions.
Oil prices surged above $100 per barrel amid fears of Middle East supply disruptions, including the tanker squeeze in the Strait of Hormuz.
The US crude oil benchmark, WTI, dropped more than 5% on Monday upon opening on the Chicago Mercantile Exchange, continuing the prior session's volatility.
Prices soared earlier Monday, with WTI hitting as high as $119.48 and Brent reaching $119.50 before falling.
This was followed by a rapid pullback after reports that G7 nations and the US were considering a massive release of up to 400 million barrels from strategic petroleum reserves (SPR) to stabilise markets.
What is WTI?
WTI, as the US-centric benchmark tied to inland supply at Cushing, Oklahoma, experienced a steeper decline — dropping roughly $15 per barrel intraday — due to the anticipated influx of domestic supply from the SPR release, which would directly pressure US crude inventories and export dynamics.
