<div id="readability-page-1">Brent fell 0.4% and WTI slipped 0.3% after Trump claimed the Iran war will end very quickly, though investors remain cautious as US crude stocks fell for a fifth straight week.Summary:<ul><li>Brent crude fell 45 cents, or 0.4%, to $110.83 a barrel in early trade, while WTI dropped 27 cents, or 0.3%, to $103.88, after Trump told US lawmakers the war with Iran will end very quickly</li><li>Both benchmarks had already fallen nearly $1 on Tuesday after Vice President Vance said the US and Iran had made meaningful progress in talks, with neither side wanting to see a return to military action</li><li>Trump's peace talk optimism was undercut by his earlier comments that the US may need to strike Iran again, and that he had been an hour away from ordering an attack before postponing it</li><li>The Strait of Hormuz, which carries around a fifth of global oil supplies, remains effectively closed as a result of the US-Israeli conflict with Iran, representing the largest oil supply disruption in the world according to the IEA</li><li>US crude inventories fell for a fifth consecutive week according to API data cited by market sources, with EIA data due Wednesday expected to show a further draw of around 3.4 million barrels for the week to May 15</li><li>Analysts noted that even a confirmed peace deal would not quickly restore crude supply to pre-war levels, keeping prices structurally elevated beyond any near-term diplomatic resolution</li></ul>Oil prices eased in early trade on Wednesday after President Trump told US lawmakers the war with Iran would end very quickly, but the move lower was modest and tentative, reflecting a market that has learned to treat the administration's daily shifts in tone with considerable caution.Brent crude fell 45 cents, or 0.4%, to $110.83 a barrel, while West Texas Intermediate slipped 27 cents, or 0.3%, to $103.88. Both benchmarks had already given back nearly a dollar on Tuesday after Vice President Vance said meaningful progress had been made in talks between Washington and Tehran, with neither side seeking a return to active hostilities.The diplomatic optimism, however, is running alongside language from Trump himself that points in the opposite direction. On the same day he asserted a quick resolution to lawmakers, he said the United States may need to strike Iran again, and disclosed that he had been an hour away from ordering an attack before choosing to postpone it. The contradiction has become characteristic of the market's operating environment, with analysts noting that the US stance is shifting on a daily basis and that investors are struggling to gauge whether Washington and Tehran can find genuine common ground.The structural supply picture provides a persistent floor beneath prices regardless of the diplomatic noise. The Strait of Hormuz, through which approximately a fifth of global oil supplies normally flows, remains effectively closed as a consequence of the US-Israeli conflict with Iran, a disruption the International Energy Agency has described as the largest to global oil supply on record. Countries are drawing on commercial and strategic inventories to fill the gap, a trend reflected in US crude stockpile data showing a fifth consecutive weekly decline, according to market sources citing American Petroleum Institute figures released on Tuesday. EIA data due later on Wednesday is expected to confirm a further draw of around 3.4 million barrels for the week ending May 15.Analysts cautioned that even a confirmed peace deal would not rapidly unwind the supply disruption, with crude flows unlikely to return quickly to pre-war levels once hostilities formally cease.---The price action reflects a market that has heard Trump's optimistic framing before and is discounting it accordingly. The gap between his assertion of a quick end to the war and his earlier comment that he may need to strike Iran again within days encapsulates the whipsaw dynamic that has characterised oil trading since the conflict began. The more durable bearish signal would be a confirmed and durable Hormuz reopening, which analysts note would still not immediately return supply to pre-war levels even if a peace deal were struck. On the bullish side, a fifth consecutive weekly draw in US crude inventories underlines the ongoing drain on commercial stocks as countries lean on reserves to fill the supply gap left by Hormuz disruption, providing a structural floor under prices even as geopolitical headlines swing.</div>

Oil prices eased slightly with Brent down 0.4% to $110.83 and WTI down 0.3% to $103.88 after Trump suggested a quick end to the Iran war. However, concerns over supply disruptions due to the US-Israeli conflict with Iran and a fifth consecutive weekly decline in US crude inventories keep prices elevated. Analysts warn that even with a peace deal, crude supply may not quickly return to pre-war levels, maintaining a structural price floor.

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Oil slips a little on Trump peace talk but supply fears keep prices elevated