Oil falls for 4th day as Hormuz talks raise reopening hopes
What's new: Brent slid to about $87 and WTI to about $82 as vessel traffic stayed far below prewar levels and diesel supplies remained tight.
Oil prices extended a multiday drop after negotiations involving Iran and Oman raised expectations that the Strait of Hormuz could reopen, easing some supply disruptions from the Middle East war. Brent crude fell as much as 2.6% on Wednesday and traded near $87 a barrel early Thursday, while US West Texas Intermediate hovered near $82 after a fifth straight daily decline. Iran and Oman said they discussed a temporary navigation corridor and clearing mines, while a senior Iranian source said details of a broader arrangement were still being finalized. Even so, shipping remains constrained: Kpler data showed only five commodity vessels transited the strait on Tuesday, versus a 10-day average of 15. Analysts said concerns about shortages persist, especially in diesel, with US distillate inventories at their lowest for this time of year.