Global oil prices recorded a sharp decline on Monday, falling more than 5% as markets reacted to growing expectations of a possible diplomatic breakthrough between Iran and the United States.
During early Asian trading hours, strong selling pressure was observed across energy markets as investor sentiment shifted on reports suggesting renewed engagement between Tehran and Washington.
Brent crude dropped by approximately 5.1%, settling near $98.22 per barrel, while market participants adjusted positions amid speculation of easing geopolitical tensions that could stabilize global supply flows.
Similarly, West Texas Intermediate (WTI) crude fell around 5.2%, trading at approximately $91.57 per barrel, reflecting broad weakness across the oil sector.
Analysts say optimism around potential negotiations has reduced fears of supply disruptions, triggering a bearish trend in crude prices. However, uncertainty remains as no official agreement has been confirmed, keeping market volatility elevated.
