Oil slumped yesterday as talks between western diplomats and officials from Iran that were extended over the set deadline reached an agreement. Yesterday a preliminary framework of a deal between Iran and Western powers was reached. Sanctions will probably lifted step-by-step basis. A final agreement is scheduled for June. If the sanctions will be fully lifted the Iranian oil will flood the already oversupplied market and weigh prices further down.
Brent Crude closed at USD55.13 a barrel, -2.72%. West Texas Intermediate dropped and closed at USD49.14, -0.16%.