Oil Prices Slip as US and Iran Diplomacy Advances

Crude oil prices declined on Wednesday as market participants tracked diplomatic progress between the United States and Iran, according to a report quoted from Detik Finance.
Brent crude futures for July delivery fell 2.5% to settle at $109.25 a barrel by 04:44 ET (08:44 GMT).
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U. S.
West Texas Intermediate crude futures dropped 1.9% to $102.35 a barrel.
This downturn followed a previous session on Tuesday where both benchmarks had already recorded a decrease of approximately 1%.
Diplomatic Signals and Tanker Movements
Shipping data compiled by LSEG and Kpler indicated that two Chinese-flagged supertankers loaded with crude oil departed from the Strait of Hormuz on Wednesday.
The movement generated optimism regarding the gradual resumption of energy shipments through this strategically vital maritime corridor.
Additionally, the Universal Winner, a South Korean-flagged Very Large Crude Carrier, reportedly navigated out of the narrow passage near the southern coast of Iran.
The vital shipping lane had remained mostly inaccessible to tanker traffic since a conflict involving the U. S.
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, Israel, and Iran intensified in late February.
U. S.
President Donald Trump informed lawmakers on Tuesday evening that the military conflict with Iran could conclude "very quickly."
Earlier in the week, Trump noted that a scheduled military strike against Iran had been deferred, indicating that discussions with Tehran were moving in a positive direction.
Vice President JD Vance supported this optimistic outlook, stating that Iran appeared prepared to negotiate a formal agreement.
According to Iranian state media, the newest peace framework from Tehran requested a cessation of military actions on all fronts, the extraction of U.
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S. forces from the region, and financial remedies for damage caused by the war.
Washington had previously dismissed prior Iranian overtures, maintaining that halting Iran's nuclear ambitions remains a primary requirement for any final settlement.
Energy Markets Monitor Stockpile Data
Investors remain focused on upcoming official energy data from the United States to assess domestic supply stability amid global distribution challenges.
Preliminary figures from the American Petroleum Institute revealed a sharp drop of 9.1 million barrels in weekly crude stockpiles, outperforming market projections of a 3.4 million barrel draw.
The API figures serve as a preliminary gauge for the comprehensive government inventory report from the U. S.
Department of Energy scheduled for later on Wednesday.
Domestic crude reserves have seen significant reductions recently due to elevated export volumes aimed at balancing international supply deficits.
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Trump previously approved the distribution of 172 million barrels from the Strategic Petroleum Reserve to cushion the market against supply disruptions linked to the geopolitical conflict.
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