Oil Prices Fall as Hopes Rise for US-Iran Deal

Oil prices fell sharply on Monday as traders reacted to statements from US officials that a deal to end the conflict with Iran could be reached soon. Brent crude, the global benchmark, dropped 5.5 percent to $97.90 a barrel. US-traded crude fell 5.9 percent to $90.93.

Asian stock markets rose on the same news.

Japan’s Nikkei 225 index gained more than 3 percent and reached a record high above 65,000. Shipping executives said even a signed agreement would leave companies cautious for months because of possible sea mines and the time needed to restore normal traffic.

The Strait of Hormuz has been effectively closed since the conflict began on February 28, cutting off roughly one-fifth of global oil and liquefied natural gas shipments. US President Donald Trump said on Saturday that an agreement had been “largely negotiated” and would include reopening the strait.

” >"We're still a work in progress. As I said, you know, we thought we might have some news last night. " — US Secretary of State Marco Rubio, 25 May 2026 (BBC News) Iran’s foreign ministry spokesman said positions had been converging in recent days but warned that key issues remained unresolved.

US Secretary of State Marco Rubio, speaking in Delhi, described the current draft as “a pretty solid thing on the table” and said an agreement might be reached on Monday. A ceasefire took effect in early April. Since then, Washington and Tehran have held talks aimed at a longer-term settlement.

Officials said the US blockade of Iranian ports would stay in place until any agreement is certified and signed.