Saudi Aramco lowered the official selling price for its flagship Arab Light crude to a premium of $15.5 over regional benchmarks for June shipments to Asia. The $4 per barrel reduction comes after prices hit a record high in May, reflecting ongoing volatility in the Middle East crude market.

The price cut signals Aramco's effort to maintain competitiveness in Asia, the largest destination for Middle Eastern oil. Supply disruptions stemming from the Middle East conflict have kept prices elevated despite the reduction. The premium remains near historic highs reached in May.

The reduction could provide some relief to Asian refiners grappling with elevated input costs. However, the $15.5 premium over benchmarks indicates crude markets remain tight. Aramco's pricing decisions often signal the direction of global oil markets given Saudi Arabia's position as the world's largest exporter.