Oil slips 4% as US, Iran reach peace deal to reopen Strait of Hormuz

Oil prices slipped to their lowest since March on Monday after US President Donald ‌Trump and Iran’s deputy foreign minister said they had reached an initial deal to end the war and to resume traffic through the Strait of Hormuz. Brent crude futures fell $3.58, or 4.10%, to $83.75 a barrel by 0004 GMT and US West Texas ​Intermediate was at $80.87, down $4.01, or 4.72%. Both contracts tumbled more than 3% on Friday. The US and Iran ​will sign a memorandum of understanding in Switzerland on Friday, said the prime ⁠minister of Pakistan, whose country has served as a mediator. Trump said on Sunday that the Strait ​of Hormuz would be open “toll free” and that a US naval blockade of Iranian ports would also end. Iran’s ​semi-official Mehr news agency said the draft deal called for reopening the Strait of Hormuz within 30 days under Iranian arrangements.