Oil Prices Plummet as Iran Conflict Takes Diplomatic Turn

Oil prices retreated sharply on Monday, leading to a decline among London-listed oil producers. Brent crude fell 6.1% to $90.87 a barrel after reaching above $101 last week, while US West Texas Intermediate dropped 5.5% to $84.37.

BP shares fell 3.4%, Shell lost 1.6%, and Harbour Energy PLC declined by more than 5%. Ithaca Energy PLC also dropped over 5%, with Energean PLC sliding 4.3%. Oilfield services group Hunting PLC declined 1.9%.

The sell-off followed a halt in US attacks on Iran, which has raised hopes that the conflict could move towards diplomacy. Washington has not carried out further strikes since Friday, while Tehran has indicated it does not intend to retaliate again for now.