Brent crude futures dropped $1.53, or 1.9 per cent, to $79.04 per barrel by 0656 GMT. Earlier in the session, prices had surged to $82.30 amid uncertainty surrounding the talks and renewed tensions in the Middle East.
LONDON: (UrduPoint/Pakistan Point News-June 22nd, 2026) The oil prices retreated on Monday after the first round of negotiations between the United States and Iran concluded in Switzerland, with Tehran announcing progress on key economic issues, including relief for its oil and petrochemical exports.
Brent crude futures dropped $1.53, or 1.9 per cent, to $79.04 per barrel by 0656 GMT. Earlier in the session, prices had surged to $82.30 amid uncertainty surrounding the talks and renewed tensions in the middle East.
US West Texas Intermediate (WTI) crude for July delivery traded at $76.53 per barrel, down seven cents ahead of the contract's expiry.
The more actively traded August contract fell 55 cents to $75.30 per barrel. Trading activity remained limited following a US market holiday on Friday.
Officials from Washington and Tehran concluded their initial discussions in Switzerland, facilitated by international mediators. The negotiations were held under a memorandum of understanding aimed at extending the fragile ceasefire agreed upon earlier this year for an additional 60 days.
Iranian Foreign Minister Abbas Araqchi said the talks had resulted in waivers for Iranian oil and petrochemical exports, partial access to frozen assets, and plans for reconstruction and economic development.
Market analysts said the talks had reduced fears of supply disruptions and improved prospects for additional crude entering global markets. Expectations of increased exports from Iran, along with higher supply offers from regional producers including Iraq, Kuwait and the UAE, weighed on prices.
Despite concerns over continued instability in parts of the Middle East, including renewed violence in Lebanon, investors focused on the possibility of stronger oil supplies and a potential easing of sanctions on Iranian crude exports.
Oil prices had already fallen more than eight per cent last week amid hopes that diplomatic progress would help stabilize energy markets and improve global supply flows.
