WTI Crude Oil Falls Despite Ongoing War Tensions

The price of crude oil has taken a hit despite the ongoing war in the Middle East. WTI trades at just above $82.00, down over 1.5% from Wednesday's close. Brent is also lower, holding steady around $86.50. The market seems to be ignoring the escalation of the conflict, instead reacting to a shipping negotiation between Iran and Oman.

The war has expanded to a fourth front, with a drone strike targeting gas vessels at Egypt's Damietta port on Wednesday. No party has claimed responsibility for the attack, but it marks a significant development in the conflict. The Suez Canal and pipeline crossing Egyptian territory have been a safe route for Saudi cargoes since Hormuz stopped working.

Meanwhile, Iran and Oman are negotiating over the Strait of Hormuz. Talks between the two countries are ongoing, with Tehran rejecting Muscat's proposal for shared oversight of the waterway on Tuesday. Instead, Iran countered with an arrangement that would give it more control over the strait.