Oil Prices Extend Decline to Six Days Amid U.S.-Iran Talks and Saudi Pipeline Restart
Brent fell to $98.30 and U.S. WTI to $89.49 as markets reacted to diplomatic talks between the United States and Iran and the partial reopening of Saudi Arabia's East-West pipeline.
Oil prices slipped in Asian trading on Wednesday, putting the market on track for a sixth consecutive day of losses, the longest streak since August 2025. Brent Crude dropped about 1% to $98.30, while the U.S. benchmark WTI fell 1.4% to $89.49, slipping below the $90-a-barrel level.
Traders cited relief from the first U.S.-Iran discussions in months, held on the sidelines of the United Nations General Assembly in New York, which raised expectations that a diplomatic breakthrough could lead to the reopening of the Strait of Hormuz and restore Middle-East oil flows. > "The meeting of US and Iranian delegations in New York has given traders a glimmer of hope," said Tim Waterer, chief analyst at KCM Trade.
The market also factored in the partial restart of Saudi Arabia's East-West onshore pipeline, the kingdom’s main route to bypass the Strait of Hormuz. After being shut for more than ten days following drone attacks on September 10, the pipeline is now operating at a reduced rate, with Saudi Aramco aiming to lift flows to roughly 4 million barrels per day within weeks.