WTI crude oil futures extended their decline on Tuesday, tumbling more than 7% to slip below $92 per barrel—the lowest level in nearly three weeks—amid reports that US‑Iran negotiations may soon resume, boosting hopes for a full reopening of the Strait of Hormuz. Negotiators are aiming to hold additional talks before the current ceasefire expires next week.
US President Trump stated that talks could restart “within the next two days” in Pakistan, while Tehran is reportedly considering a temporary suspension of shipments through the Strait of Hormuz to help advance a potential agreement. At the same time, President Trump has ordered a US naval blockade in the Strait, targeting Iran’s oil exports.
The IEA warned that the ongoing conflict could eliminate global oil demand growth this year, potentially leading to the first annual decline since the pandemic. The agency also cautioned that current prices may still not fully reflect the extent of the disruption.
