Oil Prices Expected to Fall Despite US-Iran Agreement

Commerzbank analysts have indicated that a potential agreement between the United States and Iran would likely result in only a modest decrease in oil prices. According to NS3.AI, both major benchmark crude contracts are anticipated to decline by over 7% this week. Despite the expected agreement, regional instability and the strategic significance of the Strait of Hormuz are likely to maintain a risk premium on oil prices. Currently, oil prices remain within a narrow range as traders await further developments in the peace talks.