Oil falls over $1 on easing geopolitical fears and oversupply worries

Crude benchmarks lost more than $1 a barrel on Thursday as lower concern about a wider Middle East conflict reduced the geopolitical premium, while rising supply added pressure. By 0426 GMT, Brent had fallen $1.47, or 1.58%, to $91.29 a barrel, and US West Texas Intermediate was down $1.24, or 1.43%, at $85.29, Business Recorder reported.

The declines reversed gains made a day earlier. OPEC+ production increased in October, led by higher Saudi output, while US crude inventories climbed by 9 million barrels in the latest week, according to market sources citing American Petroleum Institute data. Official US inventory figures from the Energy Information Administration were expected later on Thursday after a one-day delay.

Easing expectations of further escalation involving Russia, Ukraine and Iran also weighed on prices, although uncertainty around the Strait of Hormuz remained. The report cited an analyst who said that uncertainty made a steep market decline less likely.