Oil prices plunged more than 2%, falling below $80 per barrel.

Specifically, Brent crude oil prices fell by $1.85, or 2.5%, to $78.81 per barrel, while US WTI crude oil prices fell by $2.03, or 2.7%, to $73.82 per barrel.

Brent crude oil is trading at this level. — Brent crude oil is trading at $78.81 per barrel. (Image: Screenshot)

Oil prices fell sharply today following market speculation that Israel had agreed to a ceasefire proposal in Gaza. However, a Qatari official told Reuters that Hamas had received the ceasefire proposal positively but had not yet responded.

Recent tensions in the Middle East have driven oil prices higher. Houthi attacks on ships in the Red Sea continue, increasing costs and disrupting global oil trade. The Houthis have stated they will continue attacking US and British warships in self-defense.

Meanwhile, British oil and gas giant BP Plc announced on February 1st that it was in the process of shutting down its Whiting refinery in Indiana, which has a capacity of 435,000 barrels per day, after a power outage.

The news that Federal Reserve Chairman Jerome Powell indicated that interest rates have peaked and will fall in the coming months as inflation continues to decline and economic growth and employment stabilize. Lower interest rates and economic growth boost demand for oil.

According to a recent Reuters survey, OPEC's oil production in January recorded its largest monthly decline since July 2023, due to new voluntary production cuts by some members and reduced output in Libya.

The survey results show that OPEC pumped 26.33 million barrels per day in January, a decrease of 410,000 barrels per day compared to December 2023.

Domestically, yesterday afternoon, the Ministry of Finance and the Ministry of Industry and Trade adjusted fuel prices according to the regular schedule. Accordingly, the price of RON 95-III diesel increased the most, by 753 VND/liter. The price of kerosene increased the least, by 379 VND/liter.

In this price adjustment period, the inter-ministerial committee allocated 300 VND/kg to the price stabilization fund for fuel oil, but did not allocate or disburse funds for other types of gasoline and diesel. This marks the fourth consecutive price increase for gasoline since the beginning of the year.

Domestic retail fuel prices on February 2nd are as follows: E5 RON 92 gasoline not exceeding 22,913 VND/liter; RON 95-III gasoline not exceeding 24,160 VND/liter; diesel fuel not exceeding 20,999 VND/liter; kerosene not exceeding 20,923 VND/liter; and fuel oil not exceeding 16,087 VND/kg.

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