Crude Oil is trading at $79.88, down 3.01%, after diplomatic progress involving Iran and Oman revived hopes of reopening the Strait of Hormuz and easing shipping constraints.
- Reuters reported WTI was down 2.53% on August 26.
- Markets viewed new U.S. sanctions as economic pressure rather than a military escalation in the previous session.
- The geopolitical risk premium is unwinding as immediate supply-disruption fears diminish.