Oil prices fall near $70 a barrel after evacuation plan announced

Oil prices fell near $70 a barrel after the International Maritime Organization announced Tuesday that Iran and Oman will coordinate a large-scale evacuation of more than 11,000 stranded seafarers through the Strait of Hormuz. Brent crude oil futures sank 3.1 percent to $73.13 a barrel, their lowest level since the day before the Iran war began with strikes on Feb.

28. West Texas Intermediate crude slid 3.8 percent to $70.43 a barrel, briefly dipping below the $70 mark earlier in the day.

m. ET, while the S&P 500 and Nasdaq each gained more than 0.6 percent. National average gasoline prices fell for the sixth consecutive week, reaching $3.93 a gallon on Wednesday, 13 percent below the level recorded one month earlier. President Trump stated on Wednesday that gasoline prices are not falling fast enough and accused oil companies of price gouging.

The president wrote that oil companies are not reducing pump prices in line with lower benchmark costs and said the Department of Justice has been instructed to examine the matter.

Timeline for supply normalization Some vessels have already exited the Strait of Hormuz following the signing of a memorandum of understanding that gives the parties 60 days to reach a final agreement. Iran informed President Trump that no tolls, insurance costs, or other charges will apply to ships traversing the strait.

Joe Adamski, managing director of ProcureAbility, said it will likely take up to six months for tanker traffic to fully normalize and that repairs to damaged energy facilities could require six months to two years. Vessel operators must also unload and reload ships that have been stuck for months while addressing safety concerns after reports of mines in the waterway.