WTI Crude Pulls Back as Trump Comments Spark Geopolitical Jitters
US President Trump's comments on opening direct talks with Iran have sent oil prices plummeting. Despite no confirmed meeting or agreement, the possibility of negotiations has reduced the geopolitical premium, causing crude to fall over 4% to around $94.
The Houthi conflict in Yemen is also escalating, threatening energy routes used by China and Saudi Arabia. Beijing has asked Tehran to use its influence to rein in the rebels, providing Iran with another pressure point.
Saudi Arabia's East-West pipeline was damaged in drone attacks, disrupting crude loadings at Yanbu. Aramco is working to restore partial flows within days, but full repairs could take six weeks.
WTI has pulled back after breaking out of a multi-month triangle and reaching $104-105. The chart remains intact as long as the support level of $93 holds.