Oil Prices Plummet as Trump Announces Iran Negotiations
Global crude oil prices dropped sharply on Monday after US President Donald Trump announced that Washington would resume negotiations with Iran, sparking hopes for an easing of tensions in the Middle East and the restoration of oil flow through the Strait of Hormuz.
The decline reflects renewed optimism in the energy market that diplomacy could reduce the risk of prolonged supply disruptions following months of heightened uncertainty caused by the conflict involving the US, Israel, and Iran.
Brent crude, the international benchmark for oil prices, dropped 4.69 per cent to $83.81 per barrel for September delivery as of about 2250 GMT on Sunday.
US benchmark West Texas Intermediate (WTI) fell 4.67 per cent to $80.72 per barrel, mirroring investors' growing confidence that fresh diplomatic efforts could stabilise global energy supplies.