WTI drops more than Brent as diplomacy hopes ease Middle East risk premium.
Oil prices fell in early Tokyo trading on Tuesday (April 21, 2026) as markets focused on expectations of fresh Iran-US talks in Islamabad, with traders betting that diplomacy could ease Middle East supply risks.
According to OilPrice.com data, West Texas Intermediate (WTI) crude was trading at $86.58, down $0.84 or 0.96%, while Brent crude stood at $94.96, down $0.52 or 0.54%, at around 10:18 am Tokyo time (1:28 GMT on April 21).
WTI fell more sharply than Brent, reflecting stronger expectations that diplomatic progress could reduce the Middle East risk premium and help stabilise supply concerns. Reuters also reported Brent near $94.94 and the more active June WTI contract around $86.66 as hopes for US-Iran talks weighed on prices.
The decline came as market sentiment shifted ahead of the April 21 peace talks in Islamabad, with investors assessing whether renewed negotiations could lower the risk of further supply disruptions in the region.
WTI’s sharper decline compared to Brent suggested that traders viewed US crude as more sensitive to the latest diplomatic developments.
Murban crude moved in the opposite direction, rising by $1.34 to $93.04, while natural gas slipped by $0.034 to $2.655, highlighting uneven trading across energy markets.
The broader picture still points to elevated volatility, with geopolitical developments influencing prices more than supply fundamentals in the short term.
