Brent Slides to $85 as Hormuz Corridor Talks Ease Supply Fears

Brent crude has fallen for three consecutive sessions, sliding to $85 a barrel early this week and shedding more than 9% over five days. WTI has followed suit, trading near $80. The catalyst is diplomatic progress between Iran and Oman on a temporary maritime corridor through the Strait of Hormuz, a chokepoint that has dictated risk premiums for months.

Despite the pullback, crude remains up over 41% year-to-date, a gain entirely attributable to the US-Iran conflict and subsequent disruptions. Traders are now testing whether physical flow normalization can outpace the geopolitical premium still priced into futures curves.

Key support sits near the $80 psychological mark for WTI; a break below could accelerate unwinding of the conflict premium built since mid-year.