Crude oil futures fell midday Tuesday after U.S. Treasury Secretary Scott Bessent said an agreement to reopen the Strait of Hormuz could be imminent.
As of 11:15 a.m. ET, the September West Texas Intermediate contract was trading $3.50 lower at $76.84/bbl, with October WTI down $2.61 at $75.29/bbl. The October ICE Brent crude contract traded $3.17 lower at $80.60/bbl, with the November contract down $2.21 at $78.88/bbl.
Refined product futures were also down, with the September RBOB contract trading 11.64cts lower at $2.8503/gal and October RBOB off 10.04cts at $2.6091/gal. September ULSD traded 8.76cts lower at $3.7896/gal, with October down 7.22cts at $3.6979/gal.
Bessent told CNBC that a deal to reopen Hormuz "may" be reached Tuesday or Wednesday. He said ships are continuing to transit the strait while many others are waiting to depart, adding that he would expect energy prices to "settle back down." Shipping through the waterway remains well below normal levels, according to Kpler shipping analysts.
Bessent's comments came after Qatar's foreign ministry said discussions between the U.S. and Iran remain focused on de-escalation and reopening the strait, while noting there are currently no direct talks between the two sides.
