Global crude oil prices declined further by late Thursday night, Bangladesh time. Brent crude fell $1.29, or 1.5%, to $87.69 a barrel by 1 a.m. West Texas Intermediate crude in the United States dropped $1.30, or 1.6%, to $81.97 a barrel, according to an Al Jazeera report.

Analysts believe the war involving the United States and Israel over Iran could reduce oil demand worldwide. Concerns over weaker demand have led to a reduction in the forecast for global oil demand growth in 2026. OPEC, the alliance of oil-producing countries, cut its projection in its monthly oil market report released on Wednesday.

Under OPEC's revised forecast, global oil demand is expected to increase by 580,000 barrels per day in 2026. However, the same conflict could create a potential oil supply crisis. Fears of major supply disruptions are limiting the scope for further declines in oil prices, as possible supply shortages continue to affect market expectations.