As prospects for peace with Iran appear to be growing closer, crude oil prices fell and took a 5% drop on Wednesday as U.S. crude oil dipped below $90 a barrel for the first time in weeks.
The framework of a deal between the U.S. and Iran on ending their war and reopening of the Strait of Hormuz is closer at hand. President Trump, at a White House meeting with his cabinet said he is “not satisfied” with the terms of the deal being negotiated and branched as “complete fabrication” an Iranian state TV report that details had been struck on a draft agreement. The President said he told his negotiators “not to rush into” a settlement, adding the Iranians are “negotiating on fumes.”
West Texas Intermediate crude fell $5.21 or 5.55% to settle at $88.68 a barrel on the New York Mercantile exchange.
Brent crude futures finished down $5.29 or 5.31% at $94.29 a barrel.
Both benchmarks reached their lowest in a month earlier in the session and the losses more than erased Brent’s gains from Tuesday.
Natural gas prices went the opposite direction, climbing $0.075 or 2.49% to settle at $3.085 MMBtu.
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