WTI crude futures fell sharply after claims of a draft agreement between Washington and Tehran eased supply concerns.
WTI crude oil futures settled at $96.35, down 1.94% or $1.91 for the session. The decline followed reports on Al-Arabiya TV that the US and Iran had reached a draft agreement, including provisions to reopen the Strait of Hormuz, a critical oil transit chokepoint.
Earlier in the day, prices rallied on unverified reports that Iran’s Supreme Leader had blocked uranium removal, reinforcing expectations of prolonged tensions. However, an Iranian official later denied the claims, prompting a partial pullback before the broader selloff.
The market reaction underscores sensitivity to geopolitical developments in the Middle East, particularly those affecting oil supply routes.