Our Oil Supply & Demand teams are currently updating our market balances, forecasts, and scenario assumptions following yesterday's announcement of a memorandum of understanding (MOU) between the United States and Iran.
The agreement outlines a pathway toward the reopening of the Strait of Hormuz and the gradual normalization of regional energy trade flows over the coming weeks and months, subject to implementation and operational developments.
While uncertainty remains around the timing and pace of implementation, we believe the agreement materially changes the risk outlook that has underpinned our recent forecasts.
If you are an Insight subscriber, you can read more about our thinking in the two articles linked below: