Commodities
Home›Commodities›Energy›WTI slips below $76 as investors await Hormuz talks
WTI slips below $76 as investors await Hormuz talks
WTI was down from recent levels and was on track for a 10% weekly decline, as investors weigh diplomacy tied to Iran-Oman negotiations to reopen the Strait of Hormuz.
Oil prices trimmed gains on Friday, with US benchmark West Texas Intermediate trading just below $76 a barrel and on track for a 10% weekly decline, according to FXStreet.
Market sentiment stayed cautious as investors looked ahead to the outcome of Iran-Oman talks related to reopening the Strait of Hormuz, while a separate report from Iran’s state-linked Fars news agency raised concerns about a potential plan to ban US and Israeli vessels from the waterway.
FXStreet also cited US President Donald Trump’s comments that the strait is “sort of open” and under US control, alongside warnings about the possibility of Iranian forces “shooting something” or “dropping a mine.”
Rabobank cautioned that global stockpiles remain in drawdown, estimating the world is still pulling about 2-5 million barrels per day from crude stockpiles depending on the pace of potential SPR releases, plus 5-6 mb/d from refined product inventories. The bank’s base case assumes Hormuz flows could recover only to about 50-60% of prewar levels by 2027, with Middle East refinery exports back to normal only by mid-2028, leaving a longer gap between crude and product markets.
Latest closeWTI crude $78.07 ▲3.8%