Global oil prices fall over six percent as Iran diplomatic efforts gather pace

Global crude oil prices tumbled on Monday morning following news of diplomatic progress aimed at easing the war in Iran. Euronews, Arab News, Reuters, Investing.com, and The Business Times all reported that oil prices fell from near six month highs. Euronews added that Brent crude dropped more than 6% from its Friday close of around $117.4 per barrel to about $110 per barrel. [1][2][3][4][5]

The price drop occurred as regional mediators traveled to Tehran and United States President Donald Trump said he was weighing a deal with Iran, according to Euronews. The fall in oil prices came while investors prepared for an upcoming week filled with earnings reports and decisions from central banks. [1]

The United States and Israel have been at war with Iran and its regional allies since 28 February 2026. As FTMQ News reported earlier, diplomatic relations between the nations had been strained, with Iranian officials recently rejecting historical rhetoric used in Athens by United States Secretary of State Marco Rubio. [6][8]

The conflict began when American and Israeli forces conducted hundreds of air strikes across Iran, killing Supreme Leader Ali Khamenei in his Tehran compound. His son, Mojtaba Khamenei, was subsequently appointed as the third Supreme Leader of Iran. [6][7]