Oil prices steady under $90 as markets rebound on IEA's historic reserve release
Global markets showed signs of recovery on Wednesday as oil prices stabilised below $90 per barrel. The shift followed a sharp drop in crude values the previous day, driven by geopolitical tensions and conflicting signals from the US government. Meanwhile, technology stocks led gains after strong corporate earnings lifted investor confidence.
Oil prices suffered their steepest single-day fall in four years on Tuesday. The decline came after mixed statements from the Trump administration regarding the Iran conflict. By Wednesday, however, Brent crude steadied under $90, easing some pressure on energy markets.
The International Energy Agency (IEA) announced a record release of **400 million barrels** of strategic oil reserves. This decision, involving all 32 member countries, including **19.5 million barrels** from Germany, aims to counter supply disruptions caused by the Iran War and the Hormuz Strait blockade. The move follows earlier reports in March 2026, when the IEA first considered releasing **182 million barrels**. Market sentiment improved as traders reacted to the IEA's intervention. Brent crude initially dipped over 1% after the announcement but later fluctuated. Analysts warned that unless shipping through the Strait of Hormuz returns to normal, energy prices could remain high. Stock markets responded positively to the developments. A regional tech index jumped 3%, while Oracle's better-than-expected revenue further boosted confidence. The MSCI Asia Pacific Index rose 1.5%, marking its second day of gains. US futures for the S&P 500 and Nasdaq 100 also extended their previous session's increases.
The IEA's unprecedented reserve release has provided temporary relief to oil markets. Global equities have gained ground, supported by stronger tech earnings and stabilising crude prices. Yet, ongoing tensions in the Middle East mean volatility is likely to persist in the coming weeks.
