Market Overview
At 20:16 ET (00:16 GMT) U.S. West Texas Intermediate (WTI) crude oil futures fell 0.85% to $68.00 a barrel, while Brent crude futures had not yet begun trading. Senior U.S. officials indicated that negotiations with Iran are making progress, reducing concerns of an immediate escalation that could disrupt Gulf crude exports. Crude shipments through the Strait of Hormuz climbed above 10 million barrels per day, reflecting growing market confidence that supplies will continue to flow despite lingering geopolitical risks.
U.S. Energy Information Administration data released for April showed domestic crude production reached a record 13.93 million barrels per day, reinforcing expectations of abundant global supplies. ANZ commented that the improving prospects for a lasting agreement between Washington and Tehran have eased supply concerns, although uncertainty over the future governance of the Strait of Hormuz still provides some underlying support for crude prices.
Despite the recent price weakness, traders remain cautious as negotiations continue. Market participants are now watching for further developments in U.S.–Iran talks, additional signals on Gulf shipping volumes, and upcoming U.S. inventory and demand data for clearer direction on oil prices.