Oil prices and stock markets traded cautiously on Friday amid tentative signs that the United States and Iran were moving closer to a preliminary agreement to end the war.
Negotiators were discussing a new memorandum of understanding that appeared close to gaining approval from both sides, although disagreements remained over several key provisions. A major hurdle was the status of the Strait of Hormuz, a critical trade route for Middle Eastern oil and gas tankers.
The potential breakthrough came after a volatile week in which US and Iranian forces exchanged sporadic fire, highlighting the risks of further escalation as well as the fragility of the current truce.
