Global crude Oil Prices fell sharply on Monday, dropping nearly 3 % after new signals from the United States hinted at possible relief from disruptions in the Strait of Hormuz. However, the lack of progress in US-Iran negotiations kept prices well above the $100 mark.
Oil Prices React to Geopolitical Signals
International benchmark Brent crude reduce by 66 cents, or 0.61 % and reach $107.51 per barrel. At the same time, US West Texas Intermediate (WTI) dropped $2.83, or 2.77 percent, to $99.11 per barrel, according to IANS.
In domestic markets, crude oil futures on the Multi-Commodity Exchange (MCX) traded at Rs 9,621, down Rs 44 or 0.45 % from the previous close.
Strait of Hormuz Remains a Critical Flashpoint
Despite the Oil Prices decline, crude markets remain tense as shipping through the Strait of Hormuz continues to face challenges. The absence of a solid agreement between Washington and Tehran has kept uncertainty high, with discussions from both sides continuing over the weekend.
While the US is advocating for a nuclear deal, Iran suggested that talks postponed until after the conflict, along with the possible easing of restrictions on Gulf shipping.
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