Oil Prices Retreat Sharply After Overnight Surge as Profit-Taking Kicks In

Crude oil futures pulled back sharply on May 28, 2026, erasing most of an overnight spike triggered by renewed geopolitical supply fears. West Texas Intermediate crude for July delivery fell 1.8% to settle at $72.85 a barrel on the New York Mercantile Exchange, after earlier touching a three-week high of $75.90. The overnight rally saw prices surge nearly 4% as reports of a missile strike on a major refinery in Russia’s Black Sea region stoked immediate supply disruption concerns. However, a lack of confirmation of lasting damage and reassurances that global crude flows remained intact prompted a wave of profit-taking, traders said. The pullback was amplified by a strengthening U.S. dollar, which makes dollar-denominated commodities more expensive for overseas buyers. Brent crude, the global benchmark, declined $1.60 to $76.45 a barrel. Analysts noted that while the initial price reaction was acute, the market quickly recalibrated, viewing the event as a temporary risk rather than a systemic threat to supply.