Crude oil markets have found a tentative footing following a brief period of heightened geopolitical uncertainty in the Middle East.
Prices stabilized on Monday after an agreement between the United States and Iran to halt recent tensions, allowing the Strait of Hormuz to reopen and stranded tankers to resume movement.
The development offered a momentary reprieve from the supply fears that had previously weighed on energy markets.
Brent crude and WTI futures traded flat in Friday sessions, capping a week of subdued volatility.
The lack of directional conviction in the market reflects investor caution as they digest the latest developments in US-Iran diplomatic efforts.
While the immediate threat of a prolonged blockade has receded, the underlying fragility of the situation keeps a risk premium embedded in prices.