Oil prices fall by 3pc amid higher supply and US reserves

Global oil prices slipped by three per cent in the international market, reflecting a shift in both supply and market sentiment. US crude fell to $93.31 per barrel, while London Brent declined by 1.60 per cent to $101.78 per barrel.

The drop was largely driven by an increase in supply. An agreement between Iraq and Kurdish authorities to resume oil exports added more oil to the global market, while rising US oil reserves further signalled abundant supply. At the same time, a strong US dollar and cautious market expectations reduced demand pressure.

Together, higher supply and softer demand created the perfect conditions for prices to fall, highlighting how quickly global oil markets respond to economic signals and geopolitical developments.

On the national front, Pakistan has decided not to increase petroleum product prices in an effort to reduce the burden on ordinary citizens, Prime Minister Shehbaz Sharif said on March 13.

At Rs321 per litre and high-speed diesel (HSD) at Rs335 per litre since March 7, following a sharp increase driven by rising global oil prices and regional geopolitical tensions

“Fuel prices are not being increased to lessen the burden on the common man,” the prime minister said, adding that the government would continue to provide as much relief as possible to the public despite difficult economic conditions.