Oil Continues To Get Cheaper After Trump's Words

• 6.05.2026, 10:53

The U.S. president says a peace deal with Iran is possible.

Oil prices are falling for the second day in a row on Wednesday as markets hope for a resumption of supplies from the Middle East following US President Donald Trump's comments on the possibility of a peace deal with Iran.

Brent crude futures were down 1.35% to $108.39 per barrel by 09:22 (Minska), while WTI crude was down 1.58% to $100.65 per barrel. Trump on Tuesday abruptly suspended the military escort operation for ships leaving through the Strait of Hormuz. The president attributed it to good progress in talks with Iran toward a peace deal, but gave no details. There was no immediate reaction from Tehran.

"This points to the possibility of de-escalation and gives hope that tankers stuck in the Persian Gulf will finally make it to the open sea and supplies will gradually return to the market," said LSEG's Anh Pham.

The analyst added that oil prices remain high - Brent and WTI are holding above $100 a barrel - as the prospects for a peace deal are unclear. In addition, he said, even if a deal is reached, it will take time for trade flows to fully recover. U.S. oil inventories fell for the third straight week, while gasoline and distillate stocks also declined, the American Petroleum Institute said Tuesday.

According to API, United States crude oil inventories fell by 8.1 million barrels in the week ended May 1, gasoline stocks fell by 6.1 million barrels and distillate stocks fell by 4.6 million barrels.