05:34 AM EST, 01/29/2025 (MT Newswires) -- The benchmark Brent crude oil price fell below US$77 following a sell-off in tech stocks, which led to a significant increase in risk aversion, Commerzbank said in a Tuesday note.

In addition, a flattening of the forward curve in crude futures indicates that the tension on the spot market triggered by the tightening of sanctions is easing, or concerns about further sanctions by the new U.S. administration are diminishing, the bank noted.

The latter could be an indirect response to U.S. President Donald Trump's call on the Organization of the Petroleum Exporting Countries to lower oil prices by boosting output. Trump's concerns about prices argues against further massive sanctions in the short term, Commerzbank said.

However, the flattening of the forward curve is less of an indication that Trump's appeal to OPEC is falling on receptive ears. If that were the case, prices of contracts with longer maturities would have fallen more sharply, as Trump may not be able to find leverage to put Saudi Arabia under pressure, the bank said.