Brent Heads for 9% Weekly Loss as Canceled U.S.-Iran Talks Cloud Truce
Updated
Updated · Reuters · Jun 19
Brent Heads for 9% Weekly Loss as Canceled U.S.-Iran Talks Cloud Truce
3 articles · Updated · Reuters · Jun 19
Summary
$79.61 Brent crude was down 0.3% on Friday and headed for a 9% weekly loss, its second straight weekly decline.
Switzerland said Friday's U.S.-Iran talks would not take place after Vice President JD Vance dropped travel plans, while Israel's strikes in Lebanon deepened doubts that the interim peace deal will hold.
Three Saudi-flagged tankers carrying 6 million barrels have already crossed Hormuz, and analysts expect more than 85 million stranded barrels plus sanctioned Iranian supply to return, though full flow recovery could take months.
Citi sees a 60% chance of sustained normalization pushing oil toward $60-$65 by early 2027, even as OPEC kept its long-term demand view and said global consumption will reach 113.3 million bpd in 2030.
The world gets cheaper oil, but did the U.S.-Iran deal just trade short-term relief for a long-term nuclear threat?
A historic deal promises an oil glut, so why are markets betting on the next war instead?
As the U.S. and Iran step back, could Israel's planned occupation of Lebanon ignite a wider regional war?
U.S.-Iran Negotiations Collapse Sends Brent Crude Back Over $80 Amid Middle East Escalation
Overview
Earlier in the week, the signing of a U.S.-Iran truce deal sparked a rally in global markets by raising hopes for an end to three months of hostilities and the start of nuclear talks. This agreement was seen as a major step toward lifting restrictions on shipping through the vital Strait of Hormuz, easing concerns about prolonged energy supply disruptions from the Gulf region. As optimism grew, oil prices dropped below $80 per barrel. However, when the peace talks collapsed, geopolitical risks quickly returned, reversing market gains and pushing oil prices back up, highlighting the market’s sensitivity to developments in the region.