Oil Prices Decline Amid Concerns Over Demand Following Fed's Signal of Slower Rate Cuts

Forex - Following the signal from the US Federal Reserve indicating a slowdown in interest rate cuts in 2025, oil prices have dropped. Assessments that persistently high interest rates will negatively impact fuel demand pulled prices down. The price of Brent crude oil on ICE decreased by 40 cents or 0.55%, settling at $72.99 per barrel. West Texas Intermediate crude oil in the US fell by 39 cents or 0.55% to $70.19. Macquarie analyst Vikas Dwivedi noted in a statement, "The oil market is reassessing its balances for 2025 and is becoming increasingly less bearish." Analysts are indicating a support level of $72.60 for Brent crude today, with a potential target of $71.93 if this level is broken. On the upside, the initial target will be $73.58. Dwivedi stated that Brent appears to have a "fundamental and technical support" level at $70 per barrel.