FX.co ★ WTI Crude Oil Falls by Over 3%

West Texas Intermediate (WTI) crude oil futures declined by over 3%, settling at $62.50 per barrel on Monday. This decrease occurred as the de-escalation of tensions between the United States and Iran increased the likelihood of more Iranian oil entering the market. Discussions between the two nations have reportedly made substantial progress, with intentions to develop a framework for a potential nuclear agreement. This development comes on the heels of new U.S. sanctions imposed on a Chinese refinery alleged to have processed Iranian oil. Concurrently, concerns about demand persist due to fears that U.S. tariffs could hamper global economic growth. A recent survey indicates nearly a 50% probability of a U.S. recession occurring within the next year. Furthermore, the Organization of the Petroleum Exporting Countries (OPEC+) is anticipated to boost production by 411,000 barrels per day in May, though this increase might be partially counterbalanced by reductions from member countries that have been exceeding their production quotas.