Breaking News: Oil Prices Dip Below $100, Brent Falls by 10%
Crude oil prices plunged on Wednesday, with Brent crude falling by about 10% as reports of a potential agreement between the US and Iran raised expectations of easing geopolitical tensions.
Benchmark oil and gas futures prices dropped heavily during morning trading in Europe on Wednesday, following reports that the US and Iran may be close to an agreement to end the two-month conflict.
Brent, US WTI prices tumbled following renewed diplomatic signals from Washington and Tehran, boosting hopes that tensions around the Strait of Hormuz could ease after weeks of military escalation.
Trading data showed that Brent crude traded at $99.62 per barrel, down around 9.5% from the previous close.
According to a report by Axios, the White House believes it is nearing a deal with Iran based on a one-page memorandum of understanding aimed at ending the conflict and setting a framework for broader nuclear negotiations.
Citing two US officials and two other sources, Axios said Washington expects a response from Tehran on key issues within the next 48 hours.
Meanwhile, Iran’s Foreign Minister Abbas Araghchi said Wednesday that Tehran remains committed to diplomacy while maintaining readiness to respond to any “malicious act.”
Araghchi also briefed China’s Foreign Minister Wang Yi during a meeting in Beijing on recent diplomatic efforts to end the US-Israeli war against Iran, including Pakistan-mediated talks between Tehran and Washington.
“Iran, just as it acted decisively in defending itself and remains fully prepared to confront any aggression, is also serious and steadfast in the field of diplomacy,” Araghchi said.
The developments come after US President Donald Trump announced Tuesday that the US military would temporarily pause “Project Freedom,” an operation aimed at securing commercial shipping in the Strait of Hormuz.
