WTI crude oil futures experienced a decline, surrendering gains from the previous session. Market sentiment is influenced by anticipation surrounding US-Iran nuclear talks, US-led negotiations between Russia and Ukraine, and potential OPEC+ output adjustments. The maritime drill in the Strait of Hormuz by Iran and the deployment of a second US aircraft carrier have also added to the uncertainty.
- WTI crude oil futures fell over 1% to around $63 per barrel.
- US and Iran are set to resume nuclear talks in Geneva. Iran may compromise on its nuclear program if US sanctions are lifted.
- US-led negotiations between Russia and Ukraine are also scheduled to begin.
- OPEC+ is reportedly considering resuming output hikes in April.
- Iran launched a maritime drill in the Strait of Hormuz after the US deployed another aircraft carrier to the area.
The fluctuations in oil prices reflect a complex interplay of geopolitical factors and supply-side considerations. Discussions about nuclear programs and sanctions, alongside the potential for increased oil production, introduce volatility. Ongoing tensions and military activity in key transit routes further complicate the outlook, creating an environment where prices are susceptible to sudden shifts.