Oil Prices Plummet as Trump Hints at Diplomatic Breakthrough with Iran
Global oil prices plummeted on Monday after US President Donald Trump announced that Washington was having 'good talks' with Iran, sparking hopes of a diplomatic breakthrough. The Brent crude benchmark fell by about 8.2% to below $90 per barrel, dropping as low as $87.55 during trading.
The decline came after prices briefly climbed above $100 per barrel last week amid heightened tensions in the Middle East. Trump's comments followed Washington's decision on Saturday to suspend its air strikes on Iran after 13 consecutive nights of bombing.
Despite the optimism, tensions remained high across the region, with Saudi Arabia intercepting drones targeting petroleum facilities and Iran-backed Houthi rebels in Yemen claiming responsibility for targeting a key oil pipeline.
Iran insisted it had not requested a resumption of peace negotiations with the US, with Foreign Ministry spokesman Esmail Baghaei dismissing reports suggesting Tehran had sought talks as 'fabricated'.