U.S. Approves Pakistan Proposal, Iran Gives Preliminary Acceptance as Oil Benchmarks Fall.

WTI and Brent crude fell about $0.80 a barrel amid a Pakistan-mediated proposal that the United States approved and Iran preliminarily agreed to, bringing frozen Iranian funds into focus.

Pakistan's army chief delivered the plan to senior Iranian officials on Oct. 20. The terms call for transferring to Iran interest generated by $6 billion in funds frozen at banks in Qatar. The provision partially addresses Iran's demand for the return of its frozen assets.

WTI stood at $97.51 a barrel and Brent at $105.76 after each benchmark fell about $0.80. Both benchmarks logged similar dollar declines despite different quoted levels. The figures describe the short-term move on Oct. 20.

The arrangement concerns earnings generated by the frozen funds, rather than describing a transfer of the $6 billion balance itself. Iran's response was preliminary, leaving the plan short of a completed settlement. The terms distinguish a possible interest payment from a transfer of the frozen principal.