WTI crude oil prices fell to $80: Iran and Oman are discussing the opening of a corridor in the Strait of Hormuz

Oil prices continued to fall amid talks between Iran and Oman on resuming shipping through the Strait of Hormuz, Bloomberg reported. The price of the benchmark Brent crude fell 5.6% to $87 per barrel, according to CNBC. Futures for North American WTI were trading at $80 per barrel at the time.

Traders are closely monitoring the prospects for the resumption of traffic along one of the most important maritime routes for oil shipments. According to the Oman News Agency, the foreign ministers of Iran and Oman discussed an initiative to establish a “temporary joint maritime corridor” and will continue their consultations.

This eased concerns about inflationary pressures and provided support for U.S. Treasury bonds, according to Bloomberg.

Lower oil prices could provide additional support for the stock market, Nancy Tengler, CEO of investment firm Laffer Tengler, told CNBC . “Oil is the next key factor in bringing down inflation, so I think this is a very positive signal for stocks heading into the fall and the run-up to the midterm elections,” she said, adding that “now is a fairly favorable time to invest in stocks.”

All three major U.S. indices closed higher on August 25.

This article was AI-translated and verified by a human editor