Oil Market: US-Iran Negotiations Influence Prices

Oil prices are reacting to new statements from the US and Iran regarding their readiness to resolve the conflict through diplomatic means.

Diplomatic Prospects

The President of Iran announced that the Supreme Leader has empowered the government to conduct negotiations. Tehran is ready to seek a resolution to the conflict with Washington through dialogue, but it does not intend to agree to excessive demands or submit to military pressure.

Contacts between the countries continue with the mediation of third parties. However, a final peace agreement has not yet been reached: the sides maintain differences on issues of sanctions, the nuclear program, and conditions for opening the Strait of Hormuz.

US Position

Donald Trump stated that Iran is interested in reaching an agreement and continuing the negotiation process. At the same time, the US position remains unchanged: Tehran must not acquire nuclear weapons.

Commenting on the dynamics of oil prices, Trump noted that the increase was less significant than expected. He also emphasized that the US receives millions of barrels of oil from Venezuela.

Economic Forecasts

According to Trump, after the November 3 elections, gasoline prices in the US should drop to below $2 per gallon.