Crude Oil Prices Fall For Second Day As Brent Slips Below $115 Amid US-Iran Diplomatic Talks

Global crude oil prices declined for the second consecutive session on Tuesday as renewed diplomatic efforts to ease the US-Iran conflict raised hopes of reduced tensions in West Asia.

Brent crude slipped below $115 per barrel, trading at $114.70, down 0.96% during the session. Despite the decline, the international benchmark remained 4.77% higher over the past week, gaining $5.23.

Meanwhile, WTI crude oil was trading at $100.80 per barrel, down 0.95% on the day. It had gained 2.51% over the preceding week.

Diplomatic Efforts Raise Hopes Of Hormuz Reopening

Reports indicated that senior officials from Saudi Arabia, Pakistan and Turkey travelled to Tehran for discussions aimed at preventing further military escalation.

The delegation reportedly included Saudi Defence Minister Khalid bin Salman, Pakistan's Asim Munir and Turkish intelligence chief Ibrahim Kalin.

They held talks with Iranian President Masoud Pezeshkian and the country's security chief.

Iran was also reportedly willing to reopen the Strait of Hormuz within seven days, subject to its conditions being met.

The strategic waterway remains crucial for global energy supplies, making any potential reopening significant for oil markets.

However, no final agreement was confirmed, leaving uncertainty over the proposed arrangement.

Middle East Security Risks Continue To Influence Oil Prices

Despite diplomatic developments, geopolitical tensions across West Asia remain elevated.

Saudi-led forces reportedly continue to confront Iran-backed Houthi rebels, while Hezbollah is said to be preparing for possible renewed conflict in Lebanon.

Reports also suggested that crude oil flows had recovered to approximately prewar levels.

Nevertheless, concerns about shipping security and potential supply disruptions continue to influence energy markets.

Investors are closely monitoring diplomatic negotiations and regional political developments for indications of further escalation or de-escalation.

The latest decline reflects cautious optimism over diplomacy, although unresolved security concerns continue to pose risks to global crude supplies.