Oil Prices Set to Slump 19% in May as Market Bets on U.S.-Iran Deal
Oil Prices Set to Slump 19% in May as Market Bets on U.S.-Iran Deal What I Cover My focus spans the global energy landscape and the technologies reshaping it, specifically focusing on oil and gas, renewables, and tech-driven market… Early on Friday,oil priceswere on track to plunge by 19% in May as traders and speculators bet on an extended ceasefire and an eventual U.S.-Iran deal despite the biggest physical supply disruption in history.
Brent Crude prices were poised to drop by 19% in May by the end of the trade day on Friday, which would be the steepest monthly decline in prices since 2020.
Early on Friday,Brent Crudefront-month futures traded flat at $93.84 per barrel, while the U.S.
benchmark,WTI Crude, was down by 0.12% at $88.94 a barrel.
The slump in prices in May follows the biggestmonthly surge in historyin April, when oil rallied amid the worst supply disruption ever and took the average U.S.
SetOilPrice.comas a preferred source in Googlehere.
This week, Brent Crude pricesslumped below the $100per barrel mark amid market hopes that the U.S.
and Iran could be moving closer to a deal.
Traders are betting that reports of a 60-day extension to the ceasefire and fresh negotiations on re-opening the Strait of Hormuz could ease the traffic congestion at the key oil and gas chokepoint in the Middle East, which has been inaccessible to most energy tanker traffic for three months now.
The latest reports as of early Friday suggest that the United States and Iran are set to extend the ceasefire, which will include the reopening of the Strait of Hormuz.
However, such extension would need to be endorsed by U.S.
White House officials have said this week that President Trump would want to make "a good deal" or no deal at all, as conflicting messages have flooded the news cycle throughout the week, again.
| Product | Price | Change |
|---|---|---|
| Brent Crude | $102.14/bbl | +0.34% |
| WTI Crude | $96.90/bbl | +0.21% |
| EN590 Diesel | $846/MT | +0.18% |
| Jet Fuel A-1 | $1090/MT | +0.55% |
| Mazut M100 | $450/MT | -0.15% |
| Bitumen 60/70 | $470/MT | +0.08% |
| Sulphur Gran 99.5% | $470/MT | -0.44% |
| Urea 46% Gran | $650/MT | +1.12% |
| NPK 16-16-16 | $460/MT | -0.28% |
| Nat Gas TTF | $15.42/MMBtu | +0.92% |
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