Lates News

On Monday, during the early Asian trading session, both US and Brent crude oil fell to a two-week low due to the market's optimistic expectations that the United States and Iran are getting closer to reaching a peaceful agreement, despite remaining differences on key issues including the blockade of the Strait of Hormuz. US President Trump stated on Saturday that Washington and Iran have "essentially agreed" to a memorandum of understanding for a peace agreement that would reopen the Strait of Hormuz. However, there are still differences between the two sides on several thorny issues, with Trump stating on Sunday that he has advised his representatives not to rush to reach any agreement with Iran. MST Marquee's Sydney-based energy analyst Saul Kavonic stated, "Although there are still uncertainties and risks surrounding the peace agreement and the Strait of Hormuz, a glimmer of hope has emerged, which will bring some relief to short-term oil prices." However, analysts expect that it will take several months for oil transportation through the strait to return to normal and for damaged oil and gas facilities to be repaired.