Oil prices have fallen over the past 24 hours following progress in negotiations between the US and Iran, as an increasing number of tankers are passing through the Strait of Hormuz. Prices are now hovering at levels last seen before the war in the Middle East.
Read: Oil prices dive after positive signals from US-Iran talks — Brent at $77, WTI at $73
Brent crude oil futures fell toward $76 per barrel in Wednesday trading, after the International Maritime Organization (IMO) announced it had received security assurances clearing the way for hundreds of vessels to exit the Persian Gulf through the Strait of Hormuz.
Oil prices decline
WTI crude futures are also on a downward trajectory, trading near $72 per barrel, amid positive developments surrounding ongoing efforts to free stranded vessels and thousands of sailors.
Approximately 1,150 commercial vessels of various types remain trapped in the Gulf, despite the US-Iran framework agreement aimed at ending the war in the Middle East, according to an analysis by German insurance giant Allianz cited today by the German news agency DPA.
Oil exports on the rise
Meanwhile, the IEA announced that UAE oil exports in early June had recovered to nearly 85% of pre-conflict levels, thanks to the use of pipelines, storage facilities, and alternative shipping routes.
Adding to supply expectations, a new 60-day US waiver allows global oil investors — including American refineries — to purchase Iranian crude oil and refined products.
It should also be noted that Iran and Oman have announced the start of discussions on a joint framework for managing transit through the Strait of Hormuz, including potential transit fees, raising concerns that Tehran could impose tolls on passing vessels.
