Oil Prices Plummet on Hopes of Mideast Deal as Trump Announces New Talks

Oil prices plummeted by over six percent on Monday after US President Donald Trump announced plans for new talks with Iran to end the war in the Middle East. The move was seen as a positive development, leading to a surge in stocks and a decline in oil futures. West Texas Intermediate crude fell to $79.46 per barrel, while Brent North Sea Crude dropped to $83.40 per barrel.

The announcement came after Trump had threatened to hit Iran 'very hard' and was reportedly considering renewed attacks on energy infrastructure. However, he pulled back from this threat on Saturday, stating that the 'perimeters' of a deal were in place.

The decline in oil prices was also influenced by an agreement between Saudi Arabia, Russia, and five other OPEC+ members to boost production by 188,000 barrels per day from September. This move helped to alleviate concerns over supply shortages.