Staff Reporter

Crude oil prices have fallen significantly in the global market amid positive signs of diplomatic efforts to resolve the ongoing conflict between the United States and Iran. On Monday (November 2), international oil prices dropped by nearly 6 percent in a single day. The decline is being attributed partly to a reduced risk of disruptions to oil supplies from the Persian Gulf region.

According to data at 2:00 pm GMT on Monday, the price of Brent crude fell by $6.90, or 6 percent, to $106.50 per barrel in the international market. At the same time, the price of US West Texas Intermediate (WTI) dropped by $6.25, or 6 percent, to $97.87 per barrel.

According to a report by Iran’s state news agency IRNA, the country’s Supreme Leader Mojtaba Khamenei has approved the government’s diplomatic initiative to end the ongoing conflict.

On Monday, Iranian Foreign Ministry spokesperson Esmaeil Baghaei said Deputy Foreign Minister Kazem Gharibabadi had visited Doha to convey a message to the United States through Qatari mediators.

According to Baghaei, Tehran has linked the reopening of the Strait of Hormuz to the withdrawal of the US military and naval blockade imposed on Iran.

Meanwhile, a report by US news outlet Axios said President Donald Trump had told Israeli Prime Minister Benjamin Netanyahu during a phone conversation that he wanted to give diplomatic efforts more time before making a final decision on launching fresh military strikes against Iran.

Earlier, on Saturday, US Secretary of State Marco Rubio said President Trump was prioritising a diplomatic solution over military confrontation. He also said no final order had yet been given regarding any new military action.

Meanwhile, amid volatility in the oil market, seven members of the OPEC+ alliance of oil-producing countries met on Sunday. At the meeting, they decided to keep oil production at its current level in December rather than increase output. As a result, the decision to suspend production increases, which has been in effect since October, will remain in place for another month.

Source: AFP and Axios.