Crude oil markets closed the week with minimal movement, reflecting a period of subdued volatility as investors assessed the ongoing diplomatic engagement between the United States and Iran.
Brent crude futures settled at $71.94 a barrel, up just 14 cents or 0.19 percent, indicating that traders are not currently pricing in immediate supply disruptions despite the underlying geopolitical tensions.
The lack of directional conviction in the market underscores a shift from risk-off positioning to a more neutral stance.
With diplomatic efforts appearing to hold, the premium previously attached to Strait of Hormuz shipping risks has largely evaporated.
Traders are now balancing the potential for a successful peace outcome against the baseline uncertainty that continues to characterize the region.
This consolidation follows a week where crude prices traded flat, capping a period of reduced volatility.