Brent crude dropped below US$97 a barrel after both sides said talks had made progress.
A worker fills up a motorcycle at a gas station in Quezon City, Metro Manila, Philippines, Mar 9, 2026. (Photo: REUTERS/Lisa Marie David)
26 May 2026 05:16AM
CALGARY: Oil prices fell nearly 7 per cent on Monday (May 25) as optimism grew that the United States and Iran were moving closer to a peace deal that would reopen the Strait of Hormuz, even though Washington and Tehran played down hopes for an imminent breakthrough.Brent crude futures LCOc1 were down US$7.24, or almost 7 per cent, at US$96.30 a barrel at 2:29pm ET (Tuesday, 2:29am, Singapore time) and US West Texas Intermediate CLc1 futures were down US$6.30, or 6.5 per cent, at US$90.88.Trading volumes were light due to the US Memorial Day holiday.Iran's top negotiator and its foreign minister were in Doha for talks with Qatar's prime minister on a potential deal with the US to end the three-month-old war, an official briefed on the visit said Monday.
Both sides said they have made progress on a memorandum of understanding that would halt the war and give negotiators 60 days to reach a final deal.
