Oil Futures Slide 6% as Draft Proposal to End U.S.-Iran War Circulates

Oil futures fell around 6% Monday after a draft plan for ending the U.S.-Iran war began circulating, as diplomacy revived hopes that supply disruptions could ease.

At 8:57 a.m. ET (1:57 p.m. UTC), Brent stood at $106.65 a barrel after shedding $6.78, a 6% decline. U.S. benchmark West Texas Intermediate was at $97.75, down $6.37, or 6.1%.

Iranian negotiators left Doha on Sunday, Nov. 1, and a draft was being shared for feedback. Another meeting was possible, but no details on the proposal’s terms were disclosed.

At a Nov. 2 briefing, Iran Foreign Ministry spokesman Esmaeil Baghaei said Tehran’s seven-step proposal remained the basis for talks. He said Iran’s demands, including an end to the U.S. naval blockade, must be addressed before the Strait of Hormuz reopens.

Brent ended October at a six-month high amid concerns the conflict could escalate after the Nov. 3 U.S. midterm elections.