Global oil prices fell sharply below 100 dollars per barrel as markets reacted to reports of a possible US-Iran agreement. The decline reflects growing expectations of reduced geopolitical risk in the Middle East. Investors responded to signs of easing tensions between the two countries.
Brent crude oil dropped by around 7 percent, bringing prices close to 100 dollars per barrel. US West Texas Intermediate crude also fell by about 8 percent, trading near 92 dollars per barrel. The decline marks one of the steepest single-day movements in recent weeks.
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The market reaction follows reports that the United States and Iran are nearing a framework agreement to end hostilities. The proposed deal reportedly includes limits on Iran’s nuclear enrichment and easing of sanctions. It also suggests gradual restoration of maritime access through the Strait of Hormuz.
Earlier, temporary pauses in regional operations had already put downward pressure on oil prices. New reports of diplomatic progress further intensified the decline. Analysts say traders are pricing in reduced risk to global energy supply routes.
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Market experts note that oil prices remain highly sensitive to developments in US-Iran negotiations. Any setback in talks could quickly reverse current losses. For now, sentiment remains bearish as expectations of a deal strengthen.