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Indonesia News Portal for Traders | Financial & Business Updates

27 November 2024 03:20  |

Oil settles down after Israel agrees to ceasefire deal with Lebanon

Oil prices settled lower on Tuesday, extending Monday's losses in choppy trade after Israel agreed to a ceasefire deal with Lebanon, reducing oil's risk premium.

Brent crude futures settled down 20 cents, or 0.27%, to $72.81 a barrel. U.S. West Texas Intermediate crude futures settled at $68.77 a barrel, down 17 cents, or 0.25%.

Israel's security cabinet has agreed a ceasefire deal with Lebanon, Channel 12 reported. The accord was expected to take effect on Wednesday.

Israeli Prime Minister Benjamin Netanyahu said he was ready to implement a ceasefire deal with Lebanon and would "respond forcefully to any violation" by Hezbollah.

On Monday, oil prices fell more than $2 following multiple reports that Israel and Lebanon had agreed to the terms of a ceasefire in the Israel-Hezbollah conflict.

A ceasefire could pressure crude oil prices because the U.S. administration would likely reduce sanctions on oil from Iran, a supporter of Hezbollah, StoneX analyst, Alex Hodes said in a note on Tuesday.

Source: Reuters

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