Oil prices fell for a third consecutive session on Thursday, with both benchmarks down roughly 1% after indirect talks between Iran and the United States in Doha concluded without any indication of a durable settlement.
Brent crude futures dropped 77 cents, or 1.1%, to $70.80 a barrel by 02:56 GMT. West Texas Intermediate fell 84 cents, or 1.2%, to $67.74 a barrel. Both contracts had already declined more than 1% in the previous session, touching their lowest levels in four months.
A Qatari foreign ministry spokesperson said on X that the two days of discussions had yielded “positive progress” on issues related to the memorandum of understanding signed in Islamabad in June, with talks centring on maritime navigation through the Strait of Hormuz and the unfreezing of Iranian assets. Before the war, roughly one-fifth of global oil supply moved through the strait. Despite the partial resumption of shipping traffic, the two countries exchanged strikes days ago following an Iranian attack on a cargo vessel. US Vice President JD Vance said oil flows through the waterway had returned to pre-war levels, though he offered no specific figures.
The Qatari ministry also said the next round of talks would be scheduled as soon as possible after funeral processions for former Iranian Supreme Leader Ali Khamenei conclude on 9 July.
With the strait open and crude flowing, market focus has shifted to supply competition. Haitong Futures said in a note that the open passage was keeping downward pressure on prices, compounded by growing expectations of a supply surplus.
Those expectations intensified after sources said on Wednesday that OPEC+ members are likely to agree at a Sunday meeting on an additional production increase of around 188,000 barrels per day from August.
