Add StudioX as a preferred source on GoogleOil prices dropped sharply on Monday as a draft proposal to end the U.S.-Iran war began circulating, according to Crude Oil Prices Today | OilPrice.com, which cited Reuters. The drop could matter to Canadian drivers and to Alberta producers, because crude prices influence what people pay at the pump.
Draft proposal after Qatar talks
Prices fell about 3% in Asian trade and extended those losses into early Monday morning in the U.S. Traders were encouraged by reports of mediation talks between Iran and Qatar over the weekend.
An official briefed on the talks told Reuters that Iranian negotiators left Qatar on Sunday. A draft proposal is now being circulated for a possible follow-up meeting. The official did not say what the draft contains.
Early Monday, Brent crude fell 4.25% to $108.61 a barrel. WTI crude dropped 4.32% to $99.62, below the $100 mark. Later figures on the OilPrice.com price board showed WTI at $97.44, down 6.42%, and Brent at $106.60, down 6.04%.
KCM Trade chief market analyst Tim Waterer said hopes of diplomatic progress and no major military escalation over the weekend had “taken some of the immediate heat out” of prices for now, as quoted by Reuters.
Iran sets conditions
Iran’s Foreign Ministry spokesman, Esmaeil Baghaei, told Reuters that Tehran’s demands have been stated clearly and are reasonable. He said no final agreement can be started, and the Strait of Hormuz cannot be reopened or secured, until the U.S. naval blockade ends and Iran’s demands are respected.
Iran said over the weekend that the Strait of Hormuz could reopen within two days if its demands are met. In September, Tehran had spoken of a week. U.S. President Donald Trump rejected Iran’s September proposal.
ING commodities analysts Warren Patterson and Ewa Manthey said in a Monday note that it remains to be seen whether the Iran-Qatar mediation will lead to anything.
Market remains cautious
The market is still wary. It fears new U.S.-Israel strikes on Iran could follow the U.S. midterm elections. ING strategists noted that many key developments in the conflict have happened over weekends. They said the market may have to hold its breath until the end of the week.
The latest drop follows a volatile stretch. Another headline on the site said Brent hit $117 three days earlier after a tanker caught fire in the Strait of Hormuz.
What the price board shows for Canada
OilPrice.com’s price board listed Western Canadian Select at $91.77 and Peace Sour at $96.12. Those Canadian benchmark figures were marked as last updated eight hours earlier, with no change shown.
Among other headlines on the site was one reading “Blackstone-Led Investors Buy into LNG Canada for $3.1 Billion.”
The story is still developing, and the draft proposal’s contents have not been made public.
Source: Crude Oil Prices Today | OilPrice.com
Articles from this desk are produced with AI assistance from verified, attributed sources and published under StudioX News editorial standards. To report an error: studioxnews.ca/complaints/
