Oil Prices Drop 1% as U.S. and Iran Make Progress in Talks

Oil prices went down by about 1% on Monday. This drop happened because talks between the U.S. and Iran about nuclear issues are improving. People were worried that problems between these two countries could hurt oil supplies from Iran, a big oil producer in the Middle East.

Brent crude oil futures fell by 70 cents, or about 1.03%, ending at $67.26 a barrel by 0030 GMT, after rising 3.2% last Thursday. U.S. West Texas Intermediate crude also dropped to $64 a barrel, down 68 cents, or 1.05%, following a 3.54% increase the previous day. Last Thursday was the last trading day that week due to the Good Friday holiday.

The U.S. and Iran agreed on Saturday to work on a plan for a possible nuclear deal. Iran’s foreign minister shared this news, and a U.S. official said that there was good progress in the talks. These discussions come after the U.S. imposed more sanctions last week, including penalties on a Chinese company that was processing Iranian oil.

The situation with Iranian oil and hopes for a trade agreement between the U.S. and the European Union led to a 5% increase in oil prices last week, marking the first gain in three weeks.

Meanwhile, Russia and Ukraine blamed each other on Sunday for breaking a brief Easter ceasefire set by President Putin, with both sides accusing the other of multiple attacks.