Hot Commodities: Oil drops under $93 after 5% surge as Hormuz tensions ease

Crude oil futures slipped below $93 per barrel on Friday, snapping a two-day rally, as reports of a possible phased US-Iran deal raised hopes of a reopening of the Strait of Hormuz and an easing of the US blockade on Iranian ports. Oil fell nearly 2% after surging as much as 5% to $96.8 the previous day, with recovering Gulf shipments, the restarted Saudi East-West pipeline and increased Hormuz flows adding to the pressure. US crude inventories also rose by 3 million barrels to 426.4 million barrels last week, 2% above the five-year average, while API reported a 1.786-million-barrel build. MCX October crude futures declined 2% to ₹8,980 per barrel after settling at ₹9,167 on Thursday.

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