Oil prices experienced a decline in early trading on Thursday, with Brent crude futures falling 44 cents (0.5%) to $94.49 a barrel and US West Texas Intermediate crude dropping 70 cents (0.8%) to $90.59. The decrease comes amid rising hopes for a potential deal to ease tensions between the US and Iran, particularly following reports that Iran may allow ships to pass through the Strait of Hormuz. This strait is crucial, handling about 20% of the world's oil and liquefied natural gas flows. Despite the optimism from the White House regarding negotiations, many investors remain skeptical due to the history of failed talks. Analysts suggest that until a formal peace agreement is reached, oil prices are likely to fluctuate between $80 and $100 per barrel. Additionally, the US Energy Information Administration reported a decrease of 913,000 barrels in crude inventories, contrary to analysts' expectations of a rise. The geopolitical situation remains tense, with ongoing blockades affecting trade from Iranian ports.