Crude Oil Pares Climb

WTI crude futures dropped more than 2% to below $97 per barrel on Tuesday, reversing gains from the previous session as reports indicated that the US and Iran are considering further negotiations aimed at securing a longer-term ceasefire before the current two-week truce expires. President Donald Trump stated that Tehran had initiated contact with Washington, while Iranian President Masoud Pezeshkian signaled readiness to pursue continued dialogue, provided it remains within the bounds of international law and regulations. Both sides failed to reach a deal after 21 hours of negotiations over the weekend, prompting President Trump to announce a blockade on Iranian oil shipments. Meanwhile, an OPEC+ report revealed that the group’s output fell by 7.9 million barrels per day in March, largely due to the shutdown of the Strait of Hormuz. Investors are now turning their attention to the IEA’s upcoming monthly market report for clearer signals on global supply-demand conditions.

WTI crude oil futures were up less than 2% at nearly $98 per barrel on Monday afternoon, cutting gains of up to 9% from the morning as investors hoped that a deal would eventually be reached between the US and Iran. Although the US failed to reach an agreement with Iran over the weekend, prompting President Trump to announce a blockade targeting Iranian oil shipments, Trump later stated that Iran had reached out and is now seeking to resume negotiations. Meanwhile, a report from OPEC+ showed the cartel's output declined 7.9 million barrels per day in March due to the closure of the Strait. Also, Saudi Arabia said it has restored full pumping capacity through its East-West pipeline to the Red Sea, along with output from the Manifa field.

WTI crude oil futures were up 3% at nearly $100 per barrel on Monday afternoon, cutting gains of up to 9% from the morning amid the uncertainty of risks to supply from the Middle East conflict. The United States imposed a blockade on Iranian-linked shipping near the Strait of Hormuz under Donald Trump, following the collapse of negotiations with Iran. Washington accused Tehran of failing to curb its nuclear ambitions, while Iran warned of potential retaliation, raising risks of supply disruptions in a key global energy corridor. A report from OPEC+ showed the cartel's output declined 7.9 million barrels per day in March due to the closure of the Strait. Meanwhile, Saudi Arabia said it has restored full pumping capacity through its East-West pipeline to the Red Sea, along with output from the Manifa field.