Why did oil prices drop according to the news?

Oil prices dropped because energy flows through the Strait of Hormuz persisted—indicating no major supply disruption—and OPEC+ signaled higher supply, with seven nations led by Saudi Arabia and Russia agreeing to increase collective quotas by 188,000 barrels a day next month, raising concerns about a potential glut. Additionally, bearish market signals emerged, including Brent and Dubai timespreads flipping into contango (prompt contracts trading at a discount to longer-dated ones) and many physical oil grades trading below benchmark prices.

What were the specific price levels and changes for Brent and WTI crude mentioned in the article?

Brent for September settlement fell 0.3% to $71.90 a barrel at 6:01 a.m. in Singapore, dropping below $72 a barrel. WTI for August delivery declined 0.3% to $68.51 a barrel, compared with Thursday’s close of $68.69, with no trading on Friday due to a US holiday.

Oil Drops as Flows in Hormuz Persist and OPEC+ Flags More Supply

Jul 5, 2026

Crude oil prices declined below $72 per barrel amid stable shipping flows in the Strait of Hormuz and OPEC+ plans to raise output quotas by 188,000 barrels daily, signaling potential oversupply.

bloomberg

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