🔴 USO is trading 3.5% down today as crude retreats on progress in U.S.–Iran negotiations

USO is trading 3.5% down as crude oil prices extend weakness following reports of progress in U.S.–Iran negotiations.

• The progress in talks reduces perceived Middle East supply risk and the geopolitical risk premium currently priced into oil.
• The move appears driven by the unwinding of an earlier geopolitical spike rather than broad risk-off sentiment, as equity index futures remain modestly higher.
• With no major U.S. economic data releases scheduled, market focus remains on the shifting energy supply outlook.