Oil Prices Rise as Gaza War Continues

Crude oil prices experienced a significant increase of over 1% on Tuesday. This surge comes as hopes for a ceasefire between Israel and Hamas in Gaza were dashed after Hamas rejected Israel's proposal for a temporary truce. Hamas stated its willingness to release all hostages if Israel ends the war and withdraws its troops from Gaza. Meanwhile, Israeli Prime Minister Benjamin Netanyahu has firmly stated that Israel will not yield to Hamas's demands.

OPEC+ Reports Production Decline

In related news, OPEC+ announced a decrease in its production by 37,000 barrels per day (bpd) in March, bringing total output to 41.02 million bpd. Concurrently, OPEC has adjusted its global oil demand growth forecast for 2025 downward, signaling potential challenges ahead for the oil market.

Market Reaction

West Texas Intermediate (WTI) for June's settlements saw a 1.38% increase, trading at $63.27 per barrel, while Brent for June's deliveries climbed by 1.21% to $67.05 per barrel, reflecting the market's response to these developments.