Hormuz Talks Send Oil Prices Plummeting Again

Oil prices plummeted on Wednesday as negotiations between Iran and Oman over a joint navigation corridor through the Strait of Hormuz rekindled diplomatic efforts. Brent crude futures dropped 2.6% to $86.30, while U.S. West Texas Intermediate fell 2.7% to $80.18.

The talks, which were restarted in Tehran, aim to establish a temporary navigation route through the strait, which is a critical waterway for global oil shipments. According to reports, Iran and Oman are targeting a permanent shipping route within 60 days.

The development comes as Pakistan's interior minister said progress had been made in broader peace mediation between the U.S. and Iran. However, a senior Iranian official emphasized that the strait will not fully reopen until the U.S. meets its commitments from a framework ceasefire deal signed in June.