Oil prices dropped on Wednesday after US President, Donald Trump described recent talks between American and Iranian representatives at the United Nations as “very good.” Both major crude benchmarks fell below the $100 mark that has been repeatedly crossed since the Middle East conflict began earlier this year.

Brent crude traded at $98.41 a barrel while the main US contract, West Texas Intermediate, stood at $89.23 during afternoon Asian trading. Trump told reporters the three-hour meeting was productive and that another round of talks had already been scheduled.

The comments came only hours after the US leader delivered a tough address at the UN, saying he faced a major decision on whether to strike a deal with Iran or take stronger action. Nearly seven months into the conflict, the two sides remain at an impasse, with key shipping routes still under pressure.

Analysts noted that the meeting shifted market attention from pure escalation toward the possibility of a diplomatic process, even if a final agreement still appears distant. Trump has previously said oil prices would fall once the conflict is resolved in the United States’ favour.

The price dip also coincided with reports that Saudi Arabia is preparing to restart operations along a key pipeline that had been shut by earlier attacks, with the aim of resuming some exports later this week.

Photo credit: Punch Newspaper