Oil Prices Dip as Iran Deal Promises Strait of Hormuz Reopening

Under the terms of the deal, Tehran has agreed to waive transit charges for commercial vessels for 60 days in exchange for the U.S. ending its blockade on Iranian oil sales. Despite the optimism, analysts at ANZ Research warned that tanker operators may remain hesitant to re-enter the Persian Gulf while the stability of the pact remains unproven. West Texas Intermediate futures slipped 1.3% to $75.82 a barrel, while Brent crude fell 1.2% to $78.62.

Simultaneously, financial markets are recalibrating for a more aggressive Federal Reserve under Chairman Kevin Warsh. While the central bank maintained steady rates this week, new economic projections indicate that nine of 19 officials anticipate at least one rate hike by the end of 2026. This hawkish tone triggered a sell-off in Asian government bonds, pushing yields higher across Japan, Australia, and New Zealand, even as regional equity indexes including the Nikkei and Kospi posted gains.