Trump's Iran Talks Send Oil Prices Tumbling Over Six Percent
Oil prices plummeted over six percent on Monday after US President Donald Trump announced that he was preparing for fresh negotiations with Iran to end the conflict in the Middle East. The news sent shockwaves through the market, lifting stock prices but raising questions about the stability of global energy supplies.
The announcement came despite Tehran's denial that any talks were underway, and Trump had previously threatened to hit Iran 'very hard' before backing down on Saturday. Despite this, oil prices remain well above levels seen before the US and Israel launched strikes against Iran, sparking a conflict that sharply curtailed Gulf exports of oil and other key products.
The decline in oil prices was also aided by an agreement between Saudi Arabia, Russia, and five other OPEC+ members to boost production by 188,000 barrels a day from September, analysts said. The yen surged against the dollar after US and Japanese authorities confirmed they had intervened in currency markets on Monday, buying Japan's currency following months of weakness.