Crude Oil Prices Fall as Iran Talks Progress, Markets React

Crude oil prices fell sharply after President Donald Trump signalled progress with Iran talks. Trump also said the United States would not hurry any deal. West Texas Intermediate and Brent both dropped about 5% by 7:13 p.m. ET. The move extended a volatile stretch for traders and major oil importers.

West Texas Intermediate futures traded near $91.65 a barrel, down about 5%. Brent futures slipped to around $98.30 a barrel, also down roughly 5%. The decline followed weeks of price swings linked to shipping risks. Market attention stayed on whether the Strait of Hormuz would reopen soon.

Weekly data showed U.S. crude oil fell more than 8% last week. Brent lost over 5% in the same period. The declines came after Trump cancelled imminent airstrikes on Iran. The decision was presented as giving negotiations more space. Prices still stayed far above early-year levels.

Oil prices remained more than 30% higher than before the Feb. 28 attacks. Those strikes by the U.S. and Israel killed Ayatollah Ali Khamenei. The report described Khamenei as Iran’s head of state. Other senior leaders also died. Since then, analysts cited the largest supply disruption on record.

Before the war, about 20% of global oil supply passed through Hormuz. Iran has enforced a de facto shipping blockade since early March. Iran demanded prior approval for passage through the waterway. Middle East oil exports then dropped sharply. Buyers worldwide faced tighter supply and higher uncertainty.

Iran’s restrictions were met by a U.S. blockade on Iran’s ports and vessels. Trump wrote on social media that talks were advancing. "The negotiations are proceeding in an orderly and constructive manner, and I have informed my representatives not to rush into a deal in that time is on our side," Trump said Sunday in a social media post. Trump also said the U.S. action would stay in "full force and effect until an agreement is reached, certified, and signed."

Trump said on Saturday that a broad agreement was mostly settled and would be revealed soon. Trump made similar comments earlier, before tensions rose again. With both blockades still active, traders kept tracking each update closely. Future crude oil prices depended on whether shipping routes normalised and exports recovered.

Contract	Price	Move
West Texas Intermediate	$91.65 per barrel	Down about 5%
Brent	$98.30 per barrel	Down around 5%