Oil Prices Drop Up to 10% Amid Positive Progress in Iran-US Talks

London/New York (Qudrat Daily) — Global oil markets witnessed a sharp decline as crude prices fell by up to 10 percent following reports of positive developments in ongoing negotiations between Iran and the United States.
According to media reports, easing tensions between Tehran and Washington and growing optimism over a potential peace agreement have triggered a significant market reaction. Investors responded quickly to expectations of improved stability in the Middle East and the restoration of disrupted supply chains.
US crude oil prices dropped by around $9 per barrel, settling near $92, while Brent crude oil also declined, trading close to $100 per barrel. This marks one of the steepest single-day drops in recent months.
Analysts say that confirmation from US media and Iranian officials about progress in sensitive negotiations has reduced fears of supply disruptions, particularly around the strategically vital Strait of Hormuz. Reports that both sides are considering reopening key shipping routes and de-escalating hostilities have further calmed market concerns.
Market expectations suggest that if a deal is reached and Iran’s frozen assets are restored, Iranian oil could re-enter global markets, increasing supply and putting further downward pressure on prices.
The sharp drop in oil prices is likely to benefit countries like Pakistan. If the trend continues, petrol and diesel prices may see noticeable reductions in the coming days, potentially lowering transportation costs and stabilizing food prices.
Economic experts note that the next 48 hours will be critical, as Iran is expected to respond to US proposals. A successful agreement could push prices even lower, while any deadlock may lead to renewed volatility in global markets.