Global oil prices fell on Monday after reaching near six-month highs, as hopes of reduced hostilities between the United States (US) and Iran eased concerns about potential supply disruptions.
Reuters reported the decline amid continued attacks on Saudi Arabia and Iranian strikes on tankers in the Persian Gulf, which have kept investors wary of risks to global oil supplies.
Brent crude futures fell by $1.60, or 1.37%, to $115.10 per barrel, while US West Texas Intermediate (WTI) crude futures dropped by $2.11, or 2.04%, to $101.20 per barrel, according to oilprice.com report.
The decline followed a rally on Friday, when both benchmarks settled nearly $3 higher. Brent ended the week up 6%, while WTI gained 2.3% after Houthi attacks on Saudi Arabia heightened concerns about supply disruptions.
Oil Prices Fall Despite Hormuz Shipping Risks
Oil prices eased as investors weighed hopes of diplomatic progress against continued attacks on commercial shipping and energy infrastructure across the region.
Despite the decline, the Strait of Hormuz remains a major source of concern for energy markets because of the reported attacks on vessels travelling through the waterway.
The continued attacks have left traders balancing the possibility of easing geopolitical tensions against the risk that further disruptions could restrict the movement of crude oil and other commodities.
Tanker Attacks Keep Oil Market on Edge
According to Reuters, John Evans, an analyst at PVM Oil Associates, said the risks posed by attacks on Saudi Arabia could support oil prices even when the market experiences short-term declines.
He added that the market correction had not reached a point where investors expecting higher prices would necessarily abandon that outlook.
Diplomatic efforts were also under way to ease regional tensions. On Sunday, Qatari mediators were reported to have travelled to Tehran as part of an effort to de-escalate the conflict in coordination with the United States.
Senior officials from countries involved in the Mecca Pact, including Saudi Arabia, Turkey and Pakistan, were also expected to meet Iranian leaders in Tehran on Monday. The planned meeting would mark their first high-level contact since attacks by Iran-backed Houthi forces on Saudi Arabia became a pressure point in the wider conflict.
What you should know
The latest decline follows a sharp rise in crude prices reported by Nairametrics on October 22, 2026, when global benchmarks climbed above $111 per barrel amid fresh concerns about disruptions to energy supplies.
The latest price movement highlights the competing forces shaping the oil market: hopes of diplomatic de-escalation on one side and persistent threats to shipping and energy infrastructure on the other.
