Brent crude fell to around $72.5 a barrel, its lowest level since before the Iran conflict, as easing concerns over Middle East supply disruptions weighed on prices. The benchmark has erased most of the gains recorded during the conflict.

The decline followed improving crude flows through the Strait of Hormuz after a preliminary U.S.-Iran agreement and the resumption of tanker traffic. Higher crude exports from the Middle East and ample near-term supplies have also softened the physical oil market.

Lower crude prices are generally positive for airlines because aviation turbine fuel (ATF), which is linked to global oil prices, is one of their largest operating expenses. A sustained decline in crude prices can help reduce fuel costs and support profit margins.