Oil Prices Plummet as Hopes Rise for Diplomatic Resolution to US-Iran Conflict

Oil prices plummeted by nearly 4% to a three-week low on Tuesday after Qatar and U.S. Treasury Secretary Scott Bessent raised hopes for a diplomatic resolution to the US-Iran conflict.

The Brent crude futures fell $3.11, or 3.71%, to $80.66 a barrel by 1159 GMT after hitting a session high of $86.33, while U.S. West Texas Intermediate (WTI) crude was down $3.58, or 4.46%, at $76.76 a barrel.

Goldman Sachs expects Brent to remain in an $80-$90 a barrel range until there is either confirmation of a new US-Iran agreement or a significant escalation in attacks and targets.