Thursday 05/February/2026 – 09:52 AM
Prices fell Oil By about 2% today, Thursday, after the United States and Iran agreed to hold talks in Oman tomorrow, Friday, which allayed fears of a possible military conflict that would disrupt supplies from this pivotal oil-producing region.
Brent crude futures fell $1.44, or 2.07%, to $68.02 per barrel by 03:35 GMT. US West Texas Intermediate crude fell $1.34, or 2.06%, to $63.80, according to Reuters.
Oil prices rose by about 3% yesterday, Wednesday, after a media report indicated the possibility of the collapse of the talks scheduled between the United States and Iran tomorrow, Friday. However, officials from both sides stated later the same day that the talks would be held tomorrow, Friday, despite not reaching an agreement on the topics on the agenda.
The US-Iranian talks
Mukesh Sahdev, CEO of energy consulting firm
The two sides remain very far apart on the terms of the talks, with Iran open to discussing its nuclear program, including uranium enrichment, with Western countries, while the United States also wants to include Iran’s ballistic missiles, its support for proxy armed groups across the Middle East, and its treatment of its own people.
Threats to strike Iran, the fourth largest oil producer in the Organization of the Petroleum Exporting Countries (OPEC)
Despite the anticipated talks, there are still fears that US President Donald Trump will follow through on his threats to strike Iran, the fourth-largest oil producer in the Organization of the Petroleum Exporting Countries (OPEC), which could lead to a broader confrontation in the oil-rich region.
In addition to the possibility of Iranian production being disrupted in the event of a conflict, there are fears that exports from other Gulf countries will be affected.
About a fifth of the total global oil consumption passes through the Strait of Hormuz, located between Oman and Iran, and data issued by the Energy Information Administration yesterday, Wednesday, showed a decline in oil stocks last week in the United States, the largest producer and consumer of crude oil in the world, after a winter storm swept large areas of the country.
