Washington: US Treasury Secretary Scott Bisent has projected a significant decrease in oil prices, estimating a fall to between $40 and $50 per barrel following the resolution of the military conflict with Iran. The forecast suggests that market stability and increased global oil supplies will lead to this price adjustment.

According to National Iraqi News Agency, Bisent explained in a television interview that the cessation of tensions would result in an additional influx of crude oil into the market. This influx is expected to create a supply surplus, consequently exerting downward pressure on oil prices.

Bisent further noted that lower energy prices would help ease inflationary pressures. This could potentially lead to a decrease in US Treasury bond yields, which have experienced an uptick due to worries about the impact of high oil prices on borrowing costs.

Currently, crude oil prices continue to climb amid concerns over energy supply risks and shipping routes through the Strait of Hormuz. Brent crude recently settled close to $95.62 per barrel, having reached $97.60 earlier in the week. Meanwhile, West Texas Intermediate crude traded around $91.22.

In the financial sector, the yield on 10-year US Treasury bonds increased to a range between 4.79% and 4.82%. Additionally, the spot price of gold dropped by 1.1% to $4,419.09 per ounce, influenced by the rising yields and a stronger dollar.