Crude oil prices dropped by more than 4 per cent on Sunday after United States President, Donald Trump, signaled that negotiations with Iran on reopening the Strait of Hormuz were making progress, while stressing that the U.S. would not rush into any agreement.

West Texas Intermediate crude futures slipped about 5 per cent to roughly $91.65 per barrel as of 7:13 p.m. ET.

The global benchmark, Brent crude futures, also declined by around 5 per cent, trading near $98.30 per barrel.

“The negotiations are proceeding in an orderly and constructive manner, and I have informed my representatives not to rush into a deal in that time is on our side,” Trump said Sunday in a social media post.

Trump said on Saturday that an agreement with Iran to reopen the Strait of Hormuz, along with other related issues, was largely finalized and would be announced soon.

Trump has previously suggested that the Iran conflict was close to a resolution, though tensions have repeatedly flared again, sending oil prices higher.

U.S. crude fell more than 8 per cent last week, while Brent dropped over 5 per cent, after the U.S. president said he had called off imminent airstrikes on Iran to allow more time for negotiations.

Despite the recent pullback, oil prices remain more than 30 per cent higher since the U.S. and Israel launched strikes on Iran on February 28.

Iran has reportedly imposed restrictions on shipping through the Strait of Hormuz since early March, requiring vessels to obtain authorization to pass and facing heightened risk of interception if they do not comply.

The measures followed U.S. and Israeli strikes that targeted senior Iranian leadership, sharply escalating regional tensions.

The Strait of Hormuz remains one of the world’s most critical oil chokepoints, with roughly 20 per day of global crude supply passing through the waterway before the conflict. Iran’s restrictions have significantly disrupted oil flows from the Middle East, contributing to one of the most severe supply shocks in recent years.