Crude oil prices on Tuesday remained stable amid reports of oil tankers passing through the Strait of Hormuz after the announcement of the United States-Iran peace agreement.
Global crude oil benchmark Brent Crude remained at around $82.57 per barrel, down over 0.7 percent from Monday’s levels.
American crude benchmark WTI Crude also declined 0.5 percent to $80.30 per barrel mark during the Asian trade hours.
Crude oil prices had declined over 5 percent on Monday due to the announcement of the US-Iran peace deal and opening of the Strait of Hormuz.
The strait, which was closed since the start of the war in late February, used to give way to about 20 percent of the world’s oil supply from the Gulf region.
Iran had effectively blocked the waterway soon after the country was attacked by Israel and the US on February 28.
Now that the US and Iran have agreed to stop the war and negotiate a final peace agreement during the 60-day window, the Strait of Hormuz is open for commercial vessels to pass through.
Three Iranian oil tankers and two cargo ships have passed through the Strait of Hormuz after the US lifted its naval blockade, according to Iranian media.
On Monday, the Indian government had said that an LNG vessel, named Disha, entered the Strait.
Also, US Vice President JD Vance has said that there will be no tolls in the Strait of Hormuz during the 60-days of talks with Tehran.
According to experts in some Indian oil marketing companies, oil prices could fall below the $80 per barrel mark if the two sides remain diplomatically engaged.
However, there is still a lack of clarity on the nuclear programme of Iran. While it is being reported that the talks on the programme have been deferred, the US President Donald Trump has recently said that Iran has agreed not to acquire nuclear weapons in the future.
