Oil Prices Stay Below $80 as U.S.-Iran Ceasefire Signing Remains Unconfirmed

Oil prices remained below $80 a barrel on Wednesday even as traders reacted to uncertainty over a U.S.-Iran ceasefire agreement. Brent crude traded at $79.48 a barrel, up 0.66 percent from the prior session, while West Texas Intermediate stood at $76.59, up 0.71 percent.

President Donald Trump stated that the expected ceasefire deal had not been finalized and could collapse before a planned signing on Friday. The administration confirmed that leadership had digitally signed the agreement several days earlier.

The Joint Maritime Information Center lowered the threat level in the Strait of Hormuz from severe to substantial. The naval coalition continued to advise vessels that an attack remains possible. The International Energy Agency projected that global oil supply will rise by 8 million barrels per day next year while demand increases by only 2 million barrels per day.

The agency said inventories could reach historic lows before the projected surplus materializes.

G7 leaders issued a joint statement calling for no single country outside the group and its partners to supply more than 60 percent of rare earths and permanent magnets by 2030. The statement set a longer-term target of 50 percent. The countries agreed to coordinate on production, processing, recycling, and new projects, and to work with the International Energy Agency on data and transparency measures.

The Interior Department announced it will pay $765 million to affiliates of Invenergy to cancel four offshore wind leases off New York, California, and Maine. The affiliates agreed to abandon the projects and redirect the funds to natural gas and geothermal developments.

Similar termination agreements have been reached with Bluepoint Wind, Golden State Wind, and TotalEnergies for projects off New York, New Jersey, North Carolina, and California.