Energy markets were mixed on Thursday as traders continued to assess the implications of the U.S.-Iran memorandum of understanding, which outlines a path toward reopening the Strait of Hormuz and restoring disrupted Middle Eastern oil exports. Expectations that additional barrels could gradually return to the market over the coming months continued to pressure crude prices, although ongoing uncertainty surrounding implementation of the agreement and the pace of supply recovery limited further downside.
Brent crude settled at $79.85 per barrel, up $0.30 on the day, while West Texas Intermediate (WTI) crude settled at $76.60 per barrel, down $0.19. Refined products were mixed, with RBOB gasoline rising 6.84 cents to 299.49 cents per gallon, while ULSD diesel fell 6.95 cents to 312.73 cents per gallon. Natural gas gained 8.6 cents to $3.233 per MMBtu, and Gas Oil futures increased 8.75 to 863.75.
Market participants remain focused on how quickly oil production, exports, and shipping activity can normalize throughout the Persian Gulf. While the proposed agreement would eventually restore full transit through the Strait of Hormuz, analysts continue to expect a gradual recovery process as infrastructure, insurance, logistics, and commercial shipping operations return to normal. At the same time, low global crude inventories and strategic reserve drawdowns continue to provide underlying support for energy prices despite improving supply expectations.