F Samsung Crude Oil Futures (03175) is down close to 4%. As of the time of writing, it has fallen 3.47% to HK$9.17, with a turnover of HK$12.5057 million.

The decline follows market media reports indicating that on June 19th, Iran and the United States plan to sign a memorandum of understanding in Switzerland to end the conflict initiated by the US and Israel against Iran since February 28, 2026. According to the final draft framework of the agreement obtained by market media, Iran commits to not seeking nuclear weapons, cooperating on the disposition of its enriched materials, relinquishing control of the Strait of Hormuz, and ensuring the resumption of normal passage through the waterway.

In exchange, the United States will provide several economic arrangements. These include allowing Iran to immediately resume exports of oil and related products, gradually unfreezing its overseas assets, and collaborating with regional partners to promote a financing plan of at least $300 billion for Iran's economic recovery.

Furthermore, separate market media reports from Tuesday, June 16th, cited sources involved in the negotiations at the G7 summit in Évian-les-Bains, France. They stated that the US-Iran agreement framework would permit Iran to resume oil sales immediately upon the deal taking effect and would facilitate the release of some of Iran's frozen overseas assets.

Market analysts believe that the re-entry of Iranian crude into the international market, coupled with the full resumption of navigation through the Strait of Hormuz, could have a significant impact on the future global supply and demand dynamics for crude oil.