Oil Prices Plummet on Hopes of US-Iran Deal

Oil prices plummeted by nearly 4% on Tuesday, reaching a three-week low as comments from Qatar and US Treasury Secretary Scott Bessent raised hopes for a diplomatic resolution to the Middle East conflict.

Qatar's Foreign Ministry spokesperson Majed Al Ansari said efforts are ongoing with all parties to secure a diplomatic resolution to the conflict, with mediators including Qatar, Pakistan, and Oman coordinating closely to facilitate negotiations and exchange draft proposals between the two sides.

US Treasury Secretary Bessent said a deal with Iran to reopen the Strait of Hormuz could come as soon as Tuesday or Wednesday. He also reported seeing 'quite a few' ships exiting the strait.

Goldman Sachs expects Brent crude prices to remain in an $80-$90 a barrel range until there is either confirmation of a new US-Iran agreement or a significant escalation in attacks and targets.