00:00Oil prices are dropping today as U.S. and Iranian negotiators are exploring a phase deal to reopen
00:05the Strait of Hormuz. Bloomberg's Charles Goravan covers oil and shipping. Charles,
00:10we've seen so many head fakes. Is this one different? Yeah, we've been here before and,
00:16you know, we are seeing prices ease a little bit, but we're in the triple digits and we're seeing
00:21this coming off a level of gains as much as 7 percent over the past two sessions. So I think
00:27there's a little bit of relief, but at the same time, this isn't the first time that we've seen
00:33talks being reported on only for them to collapse. And we're still up in the Brent market over 70 percent
00:40this year. So I think we're just going to have to wait and see what happens. Charles, the administration
00:46has been talking a lot about the diesel export banner. We've been talking about it and expectations
00:49of them to clarify their position, bringing a lot of tension again to the product market. Now,
00:54when we look at the Middle East, we look at Russia, there's still really no flow coming in that part
00:58of it. So, yes, barrels may get out. We certainly saw the Saudis get more through the Strait as the
01:02pipeline got shut down. That was positive. But it's really still all about product, right?
01:08Yeah, that's true. And, you know, we are seeing some near-term tightness in the Brent market right now.
01:13But the big story, as it has been, is in the product market. And I think that everyone is really
01:18nervously waiting to see what will come out of the administration as far as a diesel export ban could go.
01:24Because the implications of that could be pretty big, right? And it's also kind of unclear what exactly
01:29that would achieve for the U.S. administration itself. So, you know, we've seen a lot of analysts
01:36and traders saying that the expectation might be that, yeah, we'd see U.S. crude prices ease in the
01:42near term. But over the long run, that could be driving up global prices across the board. So it's unclear
01:48how
01:49long that relief really would be and if it would be achieving the aim of lowering those U.S. diesel
01:55prices long enough for there to really be a tangible win.
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