Oil Prices Drop as Gaza Peace Plan and U.S. Inventories Draw Market Attention

Oil prices declined for the first time in five sessions as traders shifted focus toward easing tensions in the Middle East and rising U.S. inventories.

West Texas Intermediate (WTI) crude fell below $62 per barrel, while Brent crude settled slightly above $66.

U.S. President Donald Trump announced that Israel and Hamas had agreed on terms for the release of all remaining hostages in Gaza — a breakthrough that could mark a major step toward ending the two-year-long conflict.

Analysts noted that if the peace plan proceeds successfully, it could stabilize oil supplies from the Middle East — putting downward pressure on prices. In addition, growing U.S. crude inventories have raised expectations of an oversupplied market, further weighing on prices.

Global oil markets have been volatile in recent weeks due to geopolitical risks, but signs of progress toward peace in Gaza have brought a sense of temporary calm.