US crude oil prices fell below $55 a barrel on Tuesday, hitting their lowest level since early 2021 as markets weighed rising supply and the prospect of reduced geopolitical risk, according to market data.
West Texas Intermediate briefly dropped to $54.98 per barrel before recovering slightly. Brent crude also declined, trading below $59 a barrel. US crude prices are down roughly 23 percent this year, marking their worst annual performance since 2018.
The decline comes as OPEC+ producers sharply increased output after years of production limits, adding pressure to an already oversupplied market.
BREAKING: Silver prices have reached parity with oil prices for the first time since the 1980s.
— The Kobeissi Letter (@KobeissiLetter) December 15, 2025
One silver ounce is currently worth $63.80, or $6.50 more than one barrel of WTI Crude Oil at $57.30.
By comparison, WTI Crude Oil prices were 5.5 times higher than silver prices in… pic.twitter.com/clNI6GOOYa
Investors are also factoring in the possibility of easing tensions if a peace deal emerges in Ukraine, encouraged by diplomatic efforts led by President Donald Trump.
Lower oil prices have translated into relief at the pump. Average US gasoline prices have fallen below $3 per gallon for the first time in four years, according to AAA.
Energy markets have been volatile since Russia’s 2022 invasion of Ukraine, which triggered sanctions and concerns over supply disruptions.
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TIPP Staff
TIPP Staff
