US Treasury Forecasts Sharp Drop in Global Oil Prices

Date:

Washington, United States – Web Desk: US Treasury Secretary Scott Bessent has predicted a significant decline in global oil prices, saying that energy markets are expected to stabilize and prices should fall sharply following ongoing geopolitical tensions.

In an interview with a US television network, Bessent stated that energy prices “should be much lower” after the end of regional conflicts, adding that global supply conditions are likely to improve in the coming period.

He noted that the United States has now reached a strong position in global energy exports, emphasizing that the country is emerging as a major player in international energy markets.

According to Bessent, US energy exports are currently constrained mainly by infrastructure limitations rather than production capacity, suggesting further growth potential in the sector.

The Treasury Secretary also commented on maritime trade routes, saying it would not be surprising to see increased vessel traffic through the Strait of Hormuz, despite ongoing regional tensions.

He added that Iran’s attempts to impose tolls or restrictions on shipping routes are unlikely to bring significant economic benefit.

Bessent further stated that no major policy shift is expected from the upcoming meeting between US President Donald Trump and Chinese President Xi Jinping, signaling continuity in US-China economic relations.

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