Global crude oil prices fell by more than 10 percent in a day on Monday as prospects for a diplomatic solution between the United States and Iran strengthened. By 12:45 a.m. Bangladesh time, Brent crude was trading at about $88.6 per barrel, down 10.4 percent from $91.68 a day earlier. US benchmark West Texas Intermediate crude also fell 8 percent to $82.35 per barrel.

Investor concerns over the Middle East eased amid hopes that talks between Washington and Tehran were progressing positively. Last week, fears of disrupted shipping through the Strait of Hormuz and Bab al-Mandab raised concern over reduced oil exports from the region, briefly pushing Brent to $100 per barrel. Prices began falling after US President Donald Trump suspended military strikes against Iran last Friday following nearly two weeks of conflict.

Trump said Monday that “good talks” were under way and that an agreement was possible, while warning that attacks could resume if negotiations failed. Iran said it had also suspended retaliatory military operations and was discussing normal maritime traffic in the Strait of Hormuz with Oman. Crude shipments from the Caspian Pipeline Consortium terminal on Russia’s Black Sea coast also resumed, improving global supply conditions, though markets remained cautious after Houthi claims of attacks on Saudi Aramco-linked facilities.