WTI Settles at $96.35 on US-Iran Draft Deal Hopes

WTI crude has tumbled to $96.35 per barrel as reports of a US-Iran draft agreement and resumed tanker exits from the Strait of Hormuz cut the risk premium. Prices had earlier spiked above $108 after Iran’s effective blockade and Ukrainian drone strikes slashed Russian output by 460,000 bpd and removed roughly 14.5 million bpd from Persian Gulf supply. Global inventories have drawn down about 500 million barrels, costing companies $25 billion, while China slashed imports and the US boosted exports, further easing near-term tightness even as analysts warn of renewed upside if diplomacy falters.