Oil prices slipped on Thursday (August 6, 2026) as investors assessed whether progress in Iran-Oman talks could pave the way for a U.S.-Iran peace deal to end the five-month war and reopen the Strait of Hormuz.

Brent crude futures fell 37 cents, or 0.5%, to $79.08 a barrel by 0024 GMT. U.S. West Texas Intermediate futures declined 53 cents, or 0.7%, to $74.69 a barrel. Brent settled up slightly on Wednesday (August 5, 2026), while WTI edged lower.

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Iran said on Wednesday (August 5, 2026) it is in the “final stage” of drafting an agreement with Oman over the Strait of Hormuz, and U.S. President Donald Trump has said a deal could be announced this week. That could potentially reopen the critical waterway, ease pressure on the world economy and help bring an end to the war.

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But the agreement is likely to be contingent on the U.S. lifting its blockade on Iran’s ports. The Trump administration has previously ruled out any deal that would cement Iran’s grip over the strait, which would amount to a major loss for the U.S. and a break with global norms.