Oil prices drop amid rising inventories, diplomatic push for Gaza ceasefire

Oil prices fell over 3% due to rising inventories and diplomatic efforts for a Gaza ceasefire. West Texas Intermediate dropped below $80 per barrel, while Brent fell to around $84. The U.S. reported a significant increase in crude inventories, the largest since February. Additionally, expectations of a ceasefire in Gaza are growing, reducing geopolitical tensions that previously drove oil prices up. Despite recent Ukrainian drone attacks on Russian refineries, the global oil supply remains sufficient, influencing OPEC+'s decision on production cuts.