Oil prices fall 1% to 4-month lows as progress in US-Iran talks cools supply concerns
Oil prices fell more than 1% on Wednesday to their lowest levels since March as optimism over U.S.-Iran talks allayed supply concerns after U.S. President Donald Trump said talks in Qatar had gone well. Brent futures settled down $1.38, or 1.89%, to $71.57 a barrel, while U.S. West Texas Intermediate crude lost 92 cents, or 1.32%, at $68.58 a barrel. Both benchmarks closed at their lowest levels in four months.
Saxo Bank analyst Ole Hansen said, "The negotiations that are currently taking place in Qatar are perceived as being positive, and that has allowed prices to drift further." Trump said on Wednesday the U.S. was getting along very well with Iran and that recent meetings in Qatar went well. The U.S. and Iran held technical talks in Doha as they seek to agree on the flow of shipping through the Strait of Hormuz and secure a lasting ceasefire. Phil Flynn, senior analyst for Price Futures Group, stated, "There's more optimism as more oil goes through the Strait of Hormuz." Crude inventories in the U.S. fell by 3.8 million barrels to 408.4 million barrels last week, the lowest level since September 2018.
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Oil prices are at their lowest levels since March as discussions between the U.S. and Iran continue. These talks are raising questions about global
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