Oil Prices Plummet as Iran-Qatar Talks Raise Hopes of Easing Middle East Supply Concerns

Oil prices fell sharply on Thursday, with Brent crude futures dropping by over Ksh176.05 (1.55%) to Ksh11,195 a barrel, and West Texas Intermediate crude futures declining by Ksh181.23 (1.7%) to Ksh10,500.

The decline comes as diplomatic talks between Iran and Qatar are underway, raising hopes of easing supply concerns in the Middle East. The Strait of Hormuz, a critical transit route for global oil supplies, has been at the center of the conflict, with both sides vying for control.

A senior Iranian source revealed that Iran and Oman were working on finalizing details of an agreement to control the strait, following a statement from Iran's Revolutionary Guards that the two countries had agreed on how to share the waterway.