Oil prices slid more than 3 per cent on Thursday, falling for the first time in six days, as fears over instability in Iran eased after US President Donald Trump signalled he would hold off attacking Iran.
Brent, the benchmark for two thirds of the world's oil, was trading 3.14 per cent lower to $64.43 a barrel at 8.20am UAE time on Thursday. West Texas Intermediate, the gauge that tracks US crude, retreated 3.21 per cent to $60.03 per barrel.
The US leader has repeatedly threatened Iran’s leadership over the killing of protesters. “We were told that the killing in Iran is stopping, and there’s no plan for executions,” Mr Trump said from the Oval Office on Wednesday, without disclosing the source for the information. “The killing has stopped. The executions have stopped.”
“I’ve been told that on good authority. We’ll find out about it. I’m sure if it happens, I’ll be very upset,” he added.
Even though concerns around Iran seem to be easing, tensions remain, Ipek Ozkardeskaya, a senior analyst at Swissquote Bank, said in a research note on Thursday.
"US crude falls sharply this morning. Encouraging headlines have triggered a pullback in commodities that had seen safe-haven inflows. However, the broader 'debasement trade'– driven by political and geopolitical uncertainty and White House policy moves – is likely to continue, keeping pressure on the US dollar, Treasury yields and potentially US equities," she said.
Crude prices fell about 20 per cent in 2025 as geopolitical and economic pressures affected markets. Iranian unrest is “adding upward pressure” to oil prices, alongside attacks near the Caspian Pipeline disrupting Kazakhstan’s exports, compounding delays from harsh winter weather and mooring damage, Ms Ozkardeskaya said on Wednesday. She added that once temporary supply disruptions fade, prices may drift back towards a bearish trend.
Kazakhstan's Foreign Ministry said three tankers were hit en route to the marine terminal of the Caspian Pipeline Consortium in the Black Sea on Tuesday.
Iran is the world’s seventh largest producer of crude. Nationwide protests have rocked the country for weeks, and activists say thousands have been killed amid a government crackdown. Rights groups have put the death toll at more than 2,500 people. On Wednesday, authorities held a mass funeral for security forces personnel killed during the unrest.
Protests have evolved from complaints about Iran's dire economic situation to calls for regime change. Authorities have accused the US and Israel of backing and instigating violence and chaos.
Gold and silver
Precious metals also slipped from their record highs, following Mr Trump’s announcement about holding off on imposing new tariffs on imports of critical minerals.
Silver plunged nearly 7.3 per cent, after hitting an all-time high of $93.57 earlier in the session on Thursday.
Gold, platinum and palladium all declined as well. Spot gold was down 0.7 per cent at $4,589.71 per ounce in morning trade. In the previous session, bullion hit a record $4,642.72. US gold futures for February delivery fell 0.9 per cent to $4,594.10.
Spot platinum receded 3.3 per cent to $2,305.90 per ounce, a one-week high, after scaling a record peak of $2,478.50 on December 29.
Palladium also lost 2.6 per cent to $1,778.80 per ounce and hovered near a one-week low.
