Oil Prices Slip as Hormuz Transit Improves and US‑Iran Talks Progress

Oil transit through the Strait of Hormuz has accelerated faster than many analysts expected, creating a short‑term supply surplus that pushed Brent crude to around $71.99 a barrel, close to pre‑war levels but on fragile footing. Market observers note that the security of the sea lane remains a key risk factor, and that China’s demand stays cautious.

Parallel diplomatic developments, notably the U.S.–Iran memorandum of understanding discussed in Doha, have eased regional tensions. This contributed to a modest decline in heating oil prices in Germany and helped Brent and WTI fall for a third consecutive trading day, while diesel and heating oil held relatively better.

Overall, the combination of faster Hormuz traffic, over‑supply in the global crude market, and improving U.S.–Iran dialogue has resulted in a temporary price dip across several oil products.