WTI crude oil futures slipped toward $62 per barrel on Wednesday, extending recent declines after encouraging US–Iran nuclear talks lowered the geopolitical risk premium. Iranian officials said a “general agreement” had been reached with Washington on the broad framework of a possible deal, while a US official signaled that negotiations would resume in Geneva in two weeks with a new proposal on the table.
The diplomatic momentum came despite ongoing military activity, including Iran’s temporary closure of part of the Strait of Hormuz for military exercises and the US deployment of a second aircraft carrier to the region. At the same time, markets monitored US-brokered negotiations between Ukraine and Russia in Geneva, which continued on Wednesday. Any breakthrough there could pave the way for easing sanctions and boosting Russian oil exports to the global market.
