On Monday, President Donald Trump announced that negotiations with Iran are advancing, suggesting a potential deal that could significantly impact oil prices. Following this announcement, West Texas Intermediate crude oil prices fell to around $91 per barrel, while Brent crude slipped below $98. Analysts like Robin Brooks from the Brookings Institution noted that a confirmed deal could lead to a rapid decrease in crude prices, potentially reaching $85. However, caution is advised as past deal announcements have often failed to materialize. Jeff Currie, chief strategy officer at Goldman Sachs, highlighted the importance of focusing on actual oil supply rather than speculative announcements, stating, 'sell the tweet, buy the molecule.' Furthermore, the reopening of the Strait of Hormuz, a critical passage for oil shipments, may not restore free navigation, complicating the market's response to any agreements. The legal status of the strait could impose additional costs on oil transport, challenging assumptions about pricing post-deal.