Brent drops below $90 as Trump signals restraint on Iran
Why it matters: Traders are stripping out war-risk premiums as Gulf oil flows continue and Hormuz disruption fears ease.
Oil prices fell sharply Tuesday after President Donald Trump signaled he was unlikely to order fresh strikes on Iran while talks continue, pulling crude to its lowest levels since August. Brent crude fell below $90 a barrel and later traded near $90.14, while US benchmark WTI slipped to about $84.78. Brent had settled Monday at $92.57, down 5.85%, and extended losses after settlement. Analysts said the market was unwinding geopolitical risk premiums as prospects for de-escalation improved and shipping through the Strait of Hormuz remained active. The drop follows extreme volatility this year, with Brent having surged as high as $130 during the conflict.