Crude oil prices steadied around $74 per barrel on Tuesday as traders tracked progress toward resolving the conflict involving Iran. An interim peace agreement has already driven prices down about 40% from their peak, and a new 60-day U.S. waiver now allows global buyers, including American refineries, to purchase Iranian crude and refined products.
Both Washington and Tehran reported constructive talks in Switzerland and agreed to establish four working groups focused on nuclear issues and sanctions. However, key differences persist. Tehran, for example, has challenged U.S. assertions that international nuclear inspectors would return immediately.
At the same time, supplies from the Persian Gulf are increasing. Kuwait and the United Arab Emirates have identified shipping workarounds, and Iran has exported more than 30 million barrels over the past week. Still, the longer-term outlook for market stability hinges on extended negotiations over Iran’s nuclear program, the durability of the Israel–Hezbollah ceasefire in Lebanon, and the secure reopening of the strategically critical Strait of Hormuz.
