Oil Futures Extend Losses on Hopes for Diplomacy

Last Updated:

Sept. 21, 4:08pm ET

Oil Futures Extend Losses on Hopes for Diplomacy

By

Anthony Harrup, Dow Jones Newswires

Oil futures extend their slide to four sessions on easing concerns about oil flows out of the Middle East and expectations for renewed diplomatic efforts to bring the U.S. and Iran back to the negotiating table.

"Prospects for renewed U.S.-Iran engagement during this week's U.N. General Assembly have created a potential path toward de-escalation, despite the absence of a formal breakthrough," Gelber & Associates says in a note.

Continued Houthi attacks and shipping constraints "indicate that the selloff reflects improving expectations rather than normalized Middle Eastern flows."