Oil Prices Slip as Iran Keeps Door Open to Diplomacy
Oil prices fell on Thursday after Iran's announcement that it remains open to diplomacy to end the US-Iran war. Brent crude futures dropped 92 cents, or 0.9%, to $102.16 a barrel at 0900 PKT, while West Texas Intermediate futures eased 77 cents, or 0.8%, to $91.39.
A senior Iranian official told Reuters that Tehran is reviewing Washington's response to its peace proposals, which prioritize lifting the US naval blockade on Iranian ports and reopening the Strait of Hormuz. However, Iran's security chief Mohsen Rezaei said the Strait of Hormuz would not be reopened while Iran's conditions are not met.
US Secretary of State Marco Rubio stated that a deal with Iran would involve hard work over a period of time, adding that President Donald Trump also had military options. Traders also evaluated possible curbs on diesel exports, which were down about 5% in midday trading after reports of a potential 90-day diesel ban.
Analysts and market watchers have warned that such a move would do little to ease high energy prices and could worsen global supplies and further disrupt economies.