Global crude oil prices fell more than 1%, with West Texas Intermediate for November delivery down 1.63 dollars, or 1.76%, to 90.97 dollars a barrel, and Brent crude for November delivery down 1.40 dollars, or 1.33%, to 103.88 dollars a barrel as of 19:18 Thailand time. Investors are watching progress in negotiations between the United States and Iran over reopening the Strait of Hormuz. Mahmoud Mashal, a senior market analyst at VT Markets, said progress in the talks will be a key focus for the market, as regional mediators are pushing for ceasefire negotiations, and concrete and significant progress could push crude oil prices lower. Iran's Ministry of Foreign Affairs disclosed that Foreign Minister Abbas Araghchi expects Iran to receive a final official response from the United States today, September 29, regarding Iran's proposal to reopen the Strait of Hormuz. Araghchi said Iran's conditions and proposals for ending the fighting and reopening the Strait of Hormuz have been conveyed to the United States through Qatar, which is acting as an intermediary. Although US President Donald Trump initially rejected the plan, Iran is awaiting an official response from the US government through the intermediary. Earlier, Araghchi said Iran would reopen the Strait of Hormuz and resume nuclear negotiations with the United States within seven days if the Trump administration agrees to Iran's conditions. Esmaeil Baghaei, a spokesman for Iran's Ministry of Foreign Affairs, said those conditions include ending what Iran calls US acts of aggression, lifting the maritime blockade and economic war against Iran, and unfreezing Iranian assets.
Potential US-Iran deal to reopen the Strait of Hormuz weighs on Brent crude prices.
Progress toward reopening the Strait of Hormuz would ease supply disruption fears, pushing WTI crude lower.
