Oil Prices Fall Below $100 as Trump Hails ‘Good’ Talks With Iran

Oil prices fell below the $100-a-barrel mark on Wednesday after US President Donald Trump described a three-hour meeting with Iran as “very good” and “very productive”, raising hopes that diplomatic efforts could ease tensions in the Middle East.

International benchmark Brent crude dropped to $98.41 a barrel, while US benchmark West Texas Intermediate (WTI) fell to $89.23 during afternoon trading in Asia.

Trump said the talks had gone well and indicated that another meeting between the two sides was expected soon. His comments came only hours after he told the United Nations that he faced a “big decision” on whether to reach an agreement with Iran or “annihilate the Islamic Republic and do it quickly”.

The latest developments come nearly seven months after US-Israeli strikes triggered the conflict, with tensions continuing to disrupt regional energy supplies. Iran has kept the Strait of Hormuz closed, while the United States has maintained a counter-blockade of Iranian ports.

The conflict has also affected energy flows around the Red Sea, where fighting between Saudi-backed government forces and Iran-backed Houthi rebels in Yemen has added pressure to regional oil exports.

Stephen Innes of Quintex Intel said the three-hour meeting was significant because it appeared to move markets away from a scenario dominated entirely by escalation and towards the possibility of diplomacy, although he noted that a final agreement remained distant.

Trump has repeatedly said oil prices would fall “as soon as” the United States wins the war. The latest decline came as Saudi Arabia reportedly resumed operations along its East-West Pipeline, a major export route that had been shut down following drone attacks.

Saudi Arabia is reportedly targeting a resumption of exports through the route later this week. Bloomberg also reported that Saudi oil giant Aramco had told some Asian refiners they could soon receive crude from the Red Sea port of Yanbu, while European customers were informed they would not be allocated oil in October.