WTI Crude Oil Prices Plummet Below $91.50 Amid Diplomatic Hopes
West Texas Intermediate (WTI) crude oil prices fell below $91.50 during early Asian trading hours on Thursday, as hopes for diplomatic progress between the US and Iran boosted market sentiment.
The price drop comes after Reuters reported that Iran remained open to diplomacy to end conflicts with the US, despite being far apart on how to achieve this goal.
Tehran is reviewing Washington's response to its peace proposals, which prioritize lifting a US naval blockade on Iranian ports and reopening the Strait of Hormuz, according to an official.
Priyanka Sachdeva, head of market insights at Phillip Nova Pte Ltd, attributed the oil price fall to the market unwinding part of its geopolitical risk premium due to recovering Gulf supply and hopes for a US-Iran diplomatic breakthrough.