Hormuz Talks Send Oil Prices Plummeting Amid Iran-Oman Diplomacy

Oil prices are falling as Iran and Oman engage in talks to restore shipping through the crucial Strait of Hormuz. The discussions come after a proposal for an interim agreement, which could pave the way for a permanent route within 30-60 days.

The West Texas Intermediate (WTI) crude price has dropped below $81 a barrel, down approximately 6% over three trading sessions. Meanwhile, Brent crude ended Tuesday's trading at $88.58 a barrel, after falling by 3.9% the previous day.

Despite the decline in oil prices, investors remain cautious due to ongoing US-Iran tensions and the restricted energy supplies from the region. Oil prices have risen by more than 40% since the start of the conflict between the two countries.