VDE is trading 5.5% down in pre-market as oil prices tumble following reports of progress in Iran peace talks, which have significantly eased geopolitical tensions in the Strait of Hormuz.
- Crude prices are retreating with Brent crude falling toward $108 and WTI near $100 after the U.S. paused naval escorts, reducing immediate supply disruption fears.
- The energy sector is decoupling from the broader market, which is currently rallying on cooling labor data from yesterday's JOLTS report.