Global Oil Prices Fall After Strait of Hormuz Reopens

The reopening of the Strait of Hormuz has caused global oil prices to fall away from the US$80 per barrel level. Based on Trading Economics data, the price of crude oil stood at US$69 per barrel on Thursday afternoon, 25 June 2026, whilst the price of Brent crude was at US$72 per barrel.

PT Traze Andalan Futures Director Ibrahim Assuaibi said the decline in global crude oil prices was caused by the return of normal traffic in the Strait of Hormuz. "With the reopening of the Strait of Hormuz and the smooth flow of transport, crude oil prices have experienced a significant decline," he said in an official statement on Thursday, 25 June 2026.

Additionally, according to Ibrahim, the fall in global oil prices was also caused by an oversupply of the commodity in the market. He noted that crude oil supply increased to 103.3 million barrels from the previous 103.1 million barrels per day, whilst demand fell from 100 million barrels per day to below 100 million barrels per day.

Ibrahim predicted that crude oil prices could fall to US$65 per barrel next week. He also projected that this condition could continue into July.

With the decline in global oil prices, Ibrahim advised the government to immediately lower non-subsidised fuel prices. "Because the price is already below the state budget reference of US$70 per barrel, even though the rupiah continues to weaken," he said.