August 04, 2026
Oil prices fell sharply Tuesday after U.S. Treasury Secretary Scott Bessent said talks with Iran could produce an agreement to reopen the Strait of Hormuz as soon as this week and restore “freedom of movement.” Brent crude dropped more than 5.4% to $79.21, while WTI fell nearly 6% to $75.65. Iran is considering allowing European countries to clear mines, but analysts remain skeptical that any deal would last or meaningfully increase oil flows. Expect volatility to remain high, with prices likely to recover today’s losses as IRGC factions opposed to an agreement try to derail it.
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EOA: Russia’s Shift from Petroleum Products Exporter to Importer: Coincidence or Perfect Storm?
Reuters: Russian July Seaborne Oil Product Exports Drop 33% M/M, Data from Sources Shows
Summary
Russia’s seaborne oil product exports fell by about one-third in July to 3.9 million metric tons as Ukrainian attacks on refineries and government export restrictions reduced fuel production. Diesel and gasoil exports dropped about 60%, while naphtha shipments declined 35% amid strong domestic demand and efforts to ease fuel shortages. Dark oil products, including fuel oil and vacuum gasoil, remained the largest export category but also fell by around 21% from June.
Figure 1 shows that Russia’s exports of petroleum products have been declining since 2024. In July, they fell by more than half from their July 2024 level. Gasoline exports stopped because of the ban, and diesel exports have almost vanished. Below is a discussion of the impact at a time when President Trump is complaining about gasoline prices and Russian gasoline and diesel are needed around the world
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