[International Oil Prices] Below $100 After Nearly Two Weeks... "U.S.-Iran Talks"

[Financial News]  

International oil prices fell below $100 per barrel on the 22nd (local time). After declining for five consecutive trading days, the $100 oil threshold was breached for the first time in nearly two weeks since the 8th.
Reports that Saudi Arabia would resume operations of its east-west oil pipeline triggered the decline in prices. Donald Trump also said that Iran and a U.S. delegation had held successful talks for three hours and that discussions would continue on the 23rd. The remarks raised hopes for a negotiated settlement and pushed oil prices lower.
Brent crude oil for November delivery, the global benchmark, settled at $99.25 per barrel, down 1.1% from the previous session.
West Texas Intermediate crude oil (WTI), the U.S. benchmark, for October delivery also settled at $94.59 per barrel, down 1.2%.
WTI also rebounded after reports emerged that, in his address to the U.N. General Assembly, President Trump had made hardline remarks, saying the United States had two choices: reach an agreement with Iran and bring prosperity, or make it disappear without leaving even a trace. However, prices ultimately turned lower after the president said that Iranian and U.S. delegations had met for talks.
News that Saudi oil supplies through the Red Sea would resume also fueled the decline in prices. Saudi Aramco was reportedly conducting test operations to restart its east-west pipeline, which had been shut down after an attack by Houthi rebels on the 10th. Oil exports from Yanbu Port on the Red Sea were expected to resume as early as this weekend.
There were also reports that operations had already resumed. Reuters reported, citing sources, that the pipeline had restarted and that crude would be loaded onto a tanker bound for China at Yanbu Port as early as later that day. However, a return to normal operations was expected to take another six to eight weeks.

[email protected] Song Kyung-jae Reporter