Oil prices drop 1.38% as Trump hints at Iran peace deal

SINGAPORE – Oil prices in international market witnessed a decline for second consecutive day after US President Donald Trump hinted at a possible peace deal with Iran to end the Middle East conflict. July Brent crude fell $1.52, or 1.38%, to $108.35 per barrel at 0103 GMT, following a 4% decline in the previous session. Meanwhile, U.S. West Texas Intermediate for June dropped $1.50, or 1.47%, to $100.77, after a 3.9% fall the day before, according to international media. The downward trend comes as Trump paused for a short period of time an operation for safely evacuation of ships from the Strait of Hormuz on the request of Pakistan and other countries. In a post on Truth Social, he claimed that the US had achieved “tremendous Military Success” during the campaign against the Country of Iran. He also stated that there has been “great progress” toward a “Complete and Final Agreement with Representatives of Iran”. “…we have mutually agreed that, while the Blockade will remain in full force and effect, Project Freedom (The Movement of Ships through the Strait of Hormuz) will be paused for a short period of time to see whether or not the Agreement can be finalized and signed”. US Secretary of State Marco Rubio described a proposed U.N. resolution targeting Iran’s attacks and mine-laying in the Strait of Hormuz as a measure of the United Nations’ effectiveness, urging China and Russia to refrain from using their veto powers. “Everyone wouldn’t want to see this vetoed again, and we’ve made some slight adjustments to the language,” Rubio told reporters at a White House news briefing, while adding: “I don’t know if it will avoid a veto or not.” “I think it’s a real test to the U.N. … as something that functions,” he added.