Quick Summary Brent crude decreased 0.67% to reach $89.10 while WTI declined 0.77% to settle at $82.89 on Friday’s session Weekly declines range from 4% to 5.5% across both major oil benchmar
Crude oil valuations declined Friday, positioning both primary benchmarks for weekly decreases following two consecutive weeks of upward movement.
Brent crude settled at $89.10 per barrel, whereas West Texas Intermediate concluded trading at $82.89. Weekly performance shows Brent declining approximately 5.3% with WTI retreating roughly 4.3%.
Brent Crude Oil Last Day Financial Futures (BZ=F)These declines persisted despite Thursday’s temporary price recovery, triggered by a Wall Street Journal disclosure revealing the Trump administration’s unwillingness to reinstate the June peace accord with Iran.
Iranian officials have consistently maintained that Washington must uphold the previous agreement before resuming negotiations. The accord expired in early August.
Earlier this week, U.S. officials confirmed they are not currently engaged in substantive discussions with Iran, despite international efforts to facilitate dialogue between the nations.
The Strait of Hormuz continues serving as a critical focal point for oil markets. Reports indicate Iran and Oman have reached an understanding permitting limited passage through the strategic waterway, while Iran prepares comprehensive conditions for broader reopening.
BREAKING: CENTCOM says it cleared Iran's mines and the Strait of Hormuz is open
Admiral Brad Cooper's account is that Navy divers, SEALs and air power spent months clearing the internationally recognized traffic lanes of IRGC mines, with nearly 1,500 vessels escorted out…
— Mario Nawfal (@MarioNawfal) August 28, 2026
Prior to the U.S.-Iran military conflict, approximately one-fifth of global oil supplies transited through this strait. Any expansion of access would introduce additional supply capacity, creating downward pressure on valuations.
Goldman Sachs analysis places current Gulf export volumes between 15 and 16 million barrels daily. This figure sits 7 to 8 million barrels beneath pre-conflict levels while remaining 5 to 6 million barrels above the March nadir.
ING analysts observe that producers are adjusting operational strategies and demonstrating increased confidence transporting crude through the strait notwithstanding continued hostilities.
Monday saw Washington unveil what officials characterized as unprecedented sanctions against Iran. Tehran denounced the measures as inhumane while asserting their diminishing impact.
Another significant development is contributing to oil market pressure. Reports suggest the Trump administration nears finalization of long-term access arrangements for Venezuelan oil reserves.
The proposed arrangement would grant U.S. companies development rights for select Venezuelan oilfield assets. Washington removed leader Nicolas Maduro from power and assumed operational control of Venezuela’s petroleum sector earlier this year.
Market analysts emphasize that meaningful supply additions from Venezuela will require considerable time, considering the deteriorated condition of the nation’s oil production infrastructure.
Venezuela reportedly contemplates departing OPEC as bilateral relations with Washington strengthen. This would represent the second significant withdrawal from the cartel following the United Arab Emirates’ announced exit.
Geopolitical concerns intensified market volatility after Moscow issued warnings of potential strikes against British military assets following Ukraine’s deployment of British-supplied cruise missiles. Trump stated his assessment that Russia will not target NATO member states.
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