Oil prices decline after signs of de-escalation between the U.S. and Iran reduce supply disruption fears.
Brent crude futures fell $2.08, or 2.18%, to $92.95 a barrel as traders bet on reduced conflict between the U.S. and Iran. West Texas Intermediate crude dropped $3.11, or 3.34%, to $89.93.
Prices had risen earlier in the week amid Middle East tensions and limited traffic in the Strait of Hormuz, a key oil transit route. Both contracts were still on track for weekly gains, with Brent up 1.25% and WTI around 3.1%.
Oman’s Mina al Fahal port operations remained unaffected despite reports of an explosion near its mooring berths. The port exports 800,000 to 900,000 barrels per day.