Oil extends drop as Iran TV says it has seen draft deal with US to reopen Hormuz - Yahoo Finance
Energy
Iran state TV reports a draft deal with the US that would reopen the Strait of Hormuz, extending an already sharp oil selloff with WTI falling roughly 3%. If the deal holds, a material risk premium that has been embedded in crude prices since escalation fears peaked would unwind further, pressuring oil-linked equities and benefiting transport/consumer names.
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↓ SHORT-6% target+3% stop1-2 weeks or until deal confirmed/collapsed
Short XOP into continued geopolitical risk-premium bleed as a credible US-Iran Hormuz deal drains the war-risk bid from crude and E&P names.