Brent and WTI Steady Near $78/$74 After 60-Day Iran Waiver
CM•Brent crude traded near $78 a barrel and WTI above $74 after falling over 3% as the US issued a 60-day waiver allowing Iranian oil and petroleum sales after early Swiss peace talks. Persian Gulf output rose via Kuwait and UAE workarounds with 30 million barrels shipped last week.
1. US Grants 60-Day Waiver
The US issued a 60-day license allowing sales of Iranian oil and petroleum products following early signs of progress in peace negotiations held in Switzerland. This waiver permits nearly any buyer, including US refineries, to purchase and pay for Iranian crude over the next two months.
2. Persian Gulf Supply Increases
Producers such as Kuwait and the UAE have implemented workarounds to boost exports through the Strait of Hormuz, pushing total shipments of Iranian oil above 30 million barrels in the past week. Additional LNG tankers from Qatar have also transited with visible tracking, indicating a gradual restoration of flows.
3. Market Reaction and Price Trends
Oil prices steadied after a more than 3% drop, with Brent trading near $78 a barrel and WTI above $74. Timespreads between front-month and second-month Brent contracts are narrowing toward parity, while Middle East markers have flipped into contango as traders adjust to potential oversupply.
