West Texas Intermediate (WTI) oil prices have remained subdued for the third consecutive day, trading around $91.50 during Asian hours on Tuesday, following reports that the United States and Iran may hold further talks to secure a longer-term ceasefire before the current two-week truce ends [1]. US President Donald Trump stated that Tehran initiated contact with Washington, while Iranian President Masoud Pezeshkian expressed willingness to continue dialogue, provided it adheres to international law and regulations [1].
US Vice President JD Vance, in an interview with FoxNews, indicated that ongoing diplomatic efforts could lead to US-Iran conflict de-escalation. Vance described recent discussions over the weekend as constructive, giving US officials deeper insight into Iran’s negotiating stance, though he noted that no breakthrough has been achieved yet [1].
US Energy Secretary Chris Wright, speaking at the Semafor World Economy Forum in Washington, warned that energy prices are likely to stay elevated and could rise further until vessel traffic through the Strait of Hormuz normalizes. Wright emphasized that disruptions to this key shipping route continue to underpin price pressures [1]. President Trump also acknowledged the domestic impact of high energy costs, warning that oil and gasoline prices could remain elevated through the US midterm election period [1].
A report from OPEC+ revealed that the group’s output declined by 7.9 million barrels per day in March, largely due to the shutdown of the Strait of Hormuz [1]. Investors are now focusing on the upcoming monthly report from the International Energy Agency (IEA) for clearer signals on global supply-demand dynamics [1].
CONCLUSION
WTI oil prices are currently subdued as diplomatic efforts between the US and Iran continue, with market participants closely watching for developments. Ongoing disruptions in the Strait of Hormuz and reduced OPEC+ output are keeping price pressures elevated. The market awaits further clarity from the upcoming IEA report to assess future supply-demand dynamics.