Brent oil erased all of its wartime gains after flows through the Strait of Hormuz ramped up following progress on a U.S.-Iran peace deal.
The global benchmark pushed lower for a fourth session, dropping below $72.48 a barrel — its pre-war closing price — before fluctuating around that level. West Texas Intermediate (WTI) was near $69. Key parts of the market are suddenly awash with supply, with buyers inundated by offers from the Middle East as well as Africa, a dramatic reversal that’s led to widespread price weakness.
The U.S. and Iran have both signaled progress after initial discussions to end the war, though their claims have at times diverged, and further talks on topics including nuclear policy and a ceasefire in Lebanon likely face hurdles. Still, early optimism about a lasting agreement has led to more tankers openly crossing Hormuz with their satellite signals switched on.
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