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Jun 25, 2026

Oil prices seen at pre-war levels as Middle East supply continue to rise

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Oil prices seen at pre-war levels as Middle East supply continue to rise

By Reuters Published June 25, 2026, 12:03 p.m. ET

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BENGALURU — Oil prices were on Thursday at levels last seen before the start of the Iran war, as expectations of rising supply from the Middle East outweighed demand concerns.

Prompt-month Brent crude futures LCOc1 for August delivery were down 25 cents, or 0.34%, to $73.49 a barrel by 1327 GMT, and U.S. West Texas Intermediate CLc1 lost 24 cents, or 0.34%, to $70.10 a barrel.

Both contracts hit their lowest since February 27, the day before the launch of U.S.-Israeli strikes on Iran.

A gas station sign showing prices for regular gas at $3.59 and diesel at $4.52. 5
Oil prices were on Thursday at levels last seen before the start of the Iran war, according to reports. Getty Images

August Brent was trading lower than September, which was priced at $73.83 at 1327 GMT, signaling ample short-term supply.

“The backlog of vessels in the Persian Gulf is being cleared, which has created a wave of supply, and we see evidence of supply assets restarting soon alongside terminals restarting,” said Rystad Energy analyst Janiv Shah.

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U.S. Energy Secretary Chris Wright told a forum that flows through the Strait of Hormuz were close to those before the war began, with at least 20 million barrels having exited the strait in the last 24 hours.

Normalization would take a few weeks, however, because the strait needs to be demined, he added.

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A person refueling a car at a Shell petrol station. REUTERS
Men unloading oil from trucks at the Baniyas oil terminal in Syria. 5
Men work during the unloading of oil from trucks arriving from Iraq at the Baniyas oil terminal, in Baniyas, Syria, May 14, 2026. REUTERS

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