Crude Oil Slumps Over 2% as US-Iran Diplomatic Talks Ease Strait of Hormuz Risks

Global crude oil prices settled roughly 2% lower, with Brent crude sliding to $104.32 a barrel and WTI settling at $92.41 a barrel. The selloff was triggered by reports that U.S. and Iranian negotiators entered technical discussions in New York regarding a phased proposal to end regional hostilities and reopen the Strait of Hormuz within seven days. Downside pressure was further amplified by speculation over potential U.S. diesel export curbs, pushing the Brent-WTI spread to $12.83, its widest level since May, despite ongoing Houthi strikes on Saudi energy infrastructure.