Oil Prices Slide Amid Hopes for US-Iran Truce
Oil prices fell approximately 2% on Friday due to increasing hopes for a truce between the US and Iran, as well as discussions about a possible US ban on diesel exports.
The Brent futures price dropped $2.28, or 2.1%, to settle at $104.32 per barrel, while West Texas Intermediate (WTI) crude fell $2.20, or 2.3%, to settle at $92.41.
US and Iranian negotiators are exploring a phased path out of war that would involve Tehran reopening the Strait of Hormuz and Washington lifting its economic blockade of Iran, according to sources close to the talks.
Iran, however, stated it will show no flexibility over its nuclear program even if the US accepts its proposal to reopen the Strait of Hormuz, which calls for steps including lifting a US naval blockade on Iranian ports, as per a senior Iranian official quoted by Reuters.