Oil prices fall nearly 5% after US announces new Iran talks

Oil prices experienced a significant decline in early Asian trade, falling by nearly 5%, after U.S. President Donald Trump announced fresh negotiations with Iran aimed at ending the Middle East war and reopening the Strait of Hormuz. The conflict, which erupted in late February with attacks by the United States and Israel on Iran, has severely impacted global oil and gas supplies by effectively closing the vital waterway. As of Sunday evening GMT, the benchmark Brent North Sea crude contract for September delivery saw a 4.69 percent drop, settling at $83.81 per barrel. Its American counterpart, West Texas Intermediate, also decreased by 4.67 percent, trading at $80.72. President Trump stated on Sunday that new talks with Iran would commence on Monday, signaling a pause in major strikes against the Islamic Republic to pursue a diplomatic resolution. "Now what we're doing is we're talking to them in the form of a negotiation. It begins tomorrow afternoon," Trump told reporters, though he offered no specific details regarding the location or participants of the talks. This announcement came shortly after the U.S. had called off significant strikes, and Iran reported it was nearing an agreement with Oman on an alternative route through the Strait of Hormuz.

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Now what we're doing is we're talking to them in the form of a negotiation. It begins tomorrow afternoon.