However, it is not yet clear if the fall in oil prices will lead to a fall in fuel prices at the pumps. Brent crude futures fell $2.7(£2.28), or 2.9 percent, to settle at $92.34(£76.19) a barrel.
West Texas Intermediate crude (WTI) fell $2.88 (£2.38) or 3.2 percent, to settle at $86.53 (£71.40) a barrel.
The fall has been spurred partly by a decrease in concern from investors in disruption in supply following the Russian invasion of Ukraine in February.
In the early weeks of the war, there were concerns from investors that the Russian supply could be completely terminated leading to oil prices rapidly increasing.
Despite multiple sanctions and oil embargos from the UK, EU and the USA the supply has continued along with increased US production easing fears from investors.
Barclays cut its Brent price forecasts by $8 (£6.60) per barrel for this year and 2023 as it expects a large surplus due to “resilient” Russian supplies.
Another reason for the fall is that there remains hope that talks can be revived to organise a deal that could allow more oil exports.
The European Union is assessing Tehran’s response to what the bloc has called its “final” proposal to save the 2015 nuclear deal, according to a Brussels spokesperson.
Speaking to reporters in the Belgian capital and using the abbreviation JCPOA for the deal, the spokesperson said they were waiting for a response from the US.
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However, concerns about a global economic slowdown and the possibility of a recession are also leading to falling oil prices.
According to Phil Flynn, an analyst at Price Futures Group, a slowdown in US housebuilding reflects a lack of consumer confidence and has affected oil prices.
He said: “Oil traders reacted because of concerns about an economic slowdown and housing uses energy.
“That caught us by surprise.”
China is also facing economic woes of its own after continuing with pandemic-related restrictions as part of Beijing’s zero Covid strategy helped slow down economic activity, resulting in less demand for oil.