Oil Prices Tumble as Iran Talks Advance and Saudi Pipeline Nears Restart
Global oil prices continued to decline due to increased expectations of resumed exports from Saudi Arabia and progress in US-Iran negotiations. The US WTI price fell below $90 per barrel after a 10% drop over the previous five days, according to Bloomberg.
The Brent crude price also dropped by 1.1% and traded at $99.25 per barrel. US President Donald Trump stated that talks with Iran were 'very productive' and that further contacts are planned.
Saudi Arabia is preparing to resume operations of the East-West oil pipeline, which has a capacity of 7 million barrels per day, after being damaged in early September attacks. Despite the latest decline, oil prices have risen by over 60% since the beginning of the year due to the war in the Middle East and supply disruptions through the Strait of Hormuz.