WTI Crude Falls to Lowest Since March as Hormuz Shipping Normalizes

West Texas Intermediate (WTI) crude oil extended its decline on Wednesday, dropping more than 3% to hit its lowest level since March. The sell-off was driven by the gradual normalization of shipping through the Strait of Hormuz after an interim peace agreement involving the United States.

Stranded crude cargoes that had been held up in the key chokepoint are now returning to the market, easing supply concerns. The agreement helped reduce geopolitical risk premiums that had previously supported oil prices.

Traders are now focusing on the pace of the recovery in flows through Hormuz and its impact on global inventories. WTI remains under pressure as the supply disruption unwinds.