Oil Prices Slide as Iran-US Tensions Persist Amid Diplomatic Efforts

Oil prices saw a decline on Thursday as the surge in prices from the previous session began to fade. The downturn came despite ongoing tensions between the United States and Iran, with both sides still far apart on how to end the war.

Brent crude futures dropped by 94 cents, or 0.9%, to $102.13 per barrel, while West Texas Intermediate crude fell by 59 cents, or 0.7%, to $91.56. The decline in prices was attributed to Iran's continued efforts to open up diplomatic avenues to end the war.

An Iranian official told Reuters that Tehran and Washington's positions remain far apart on how to end the war, but stressed the need for continued diplomatic efforts. This came after indirect talks between the two sides on Tuesday discussed the reopening of the Strait of Hormuz and lifting the maritime blockade on Iranian ports.

However, Iran's Supreme National Security Council Secretary Mohsen Rezaei stated that the Strait of Hormuz will not be reopened unless Tehran's conditions are met. Meanwhile, US Secretary of State Marco Rubio confirmed that reaching an agreement with Iran will require prolonged and tough negotiations, with President Donald Trump keeping military options on the table.