Global oil prices have fallen below $90 per barrel for the first time since August 31, 2026, following easing concerns over a possible escalation of the conflict involving the United States and Iran.
Brent crude, the international benchmark, dropped to about $89.65 per barrel on Tuesday, November 10, representing a decline of 3.15 per cent.
The benchmark had already recorded a 5.9 per cent drop in the previous trading session, extending a sharp decline in global oil prices.
US West Texas Intermediate (WTI) crude also fell by 2.68 per cent to $84.52 per barrel.
The latest decline followed comments by US President Donald Trump indicating that further military strikes against Iran were unlikely at this stage.
Trump reportedly made the remarks after meeting with Qatar’s Prime Minister, Sheikh Mohammed bin Abdulrahman, amid diplomatic efforts to ease tensions in the Middle East.
The prospect of reduced military escalation has raised expectations of improved oil supplies from the region, particularly through the strategically important Strait of Hormuz.
However, concerns over possible disruptions to oil shipments have not completely disappeared, as attacks on shipping activities in the region continue.
Beyond geopolitical developments, expectations of excess supply in the global oil market have also contributed to the price decline.
JPMorgan estimated that the global oil market recorded a surplus of approximately 1.4 million barrels per day in October, while increased output from some OPEC members added pressure to prices.
Brent crude has now fallen by approximately 23 per cent from its six-month high of $118 per barrel recorded on October 30.
The development comes amid growing market expectations of a possible diplomatic resolution to the Middle East conflict, although analysts caution that sustained lower prices will depend on improved security and stable oil supplies.
