Oil futures experienced a slight decline amid optimism regarding a potential extension of a U.S.-Iran ceasefire. Remarks from U.S. Vice President JD Vance indicated that while the nations are “close” to reaching an agreement, they are “not there yet,” which helped to sustain prices.
As of 0105 GMT, Brent crude futures for July—set to expire on Friday—declined by 35 cents, or 0.37%, to $93.36 a barrel. In parallel, U.S. oil futures dropped by 63 cents, or 0.71%, to $88.27 a barrel. The more actively traded August Brent futures fell 46 cents, or 0.50%, to $92.24.
Over the past week, prices have fallen more than 8%, with Brent reaching a low of $87.11 compared to last week’s high of $109.47. The market has been volatile, with fluctuations of up to $6 for both benchmarks, influenced by mixed signals regarding the potential resolution of the ongoing conflict in Iran and the possible reopening of the Strait of Hormuz, a crucial route for about one-fifth of the world’s oil and liquefied natural gas supplies.
Currently, maritime traffic through the Strait remains significantly lower than pre-war levels. Reportedly, the U.S. and Iran reached an agreement on Thursday to extend their ceasefire and lift shipping restrictions in the strait. However, U.S. President Donald Trump has yet to give his approval, and Iranian state media noted that the agreement has not been finalized.
Vice President Vance indicated that while talks with Tehran are ongoing and there are “a couple of sticking points,” specifically regarding Iran’s enriched uranium stockpile and the enrichment issue, he remains cautiously optimistic. “I can’t guarantee that we’re going to get there, but right now I feel pretty good about it,” he remarked.
Published on May 29, 2026.
