As Iran and the U.S. moved closer and closer to ending their exchange of military attacks, crude oil prices fell more than 2% on Friday with US oil dropping below $90 and foreign oil only $2 away from the $90 level.
News of an agreement of sorts was a positive sign for investors, prompting the fall in prices. But the deal reached by negotiators required Iran to open the Strait of Hormuz without any restrictions. Iran had said after the conflict it would regulate traffic through the strait and charge fees to transit. President Trump has said the deal would include Tehran agreeing “they will never have a Nuclear Weapon or Bomb” and an immediate opening of the strait with no tolls and the removal of all mines in the waterway.
Brent crude fell $1.66 or 1.8% to settle at $92.05 a barrel,
West Texas Intermediate crude dropped below $90, settling at $87.36 a barrel on the New York Mercantile Exchange after a decline of $1.54 or 1.7%.
Brent was on track for a May decline of more than 19%, its biggest fall since March 2020. WTI crude was headed for a monthly slide of more than 16%, its worst since April 2025.
Prices for natural gas also finished down for the day, closing at $3.275 MMBtu with a fall of $0.010 or 0.30%.