Oil Slips Below $90 as Trump Declares Iran Conflict Effectively Over

OPA WIRE, Nov 10 (OPA) — Brent crude dropped 3 per cent to $89.66 on Tuesday, extending a nearly 6 per cent loss from Monday. President Trump announced that Iran's military capacity is effectively neutralized following a meeting with Qatari Prime Minister Sheikh Mohammed bin Abdulrahman bin Jassim Al Thani. Speculation also mounted that Tehran had dropped demands to control the Strait of Hormuz.

"Oil continues to trade lower on hopes of a US-Iran peace deal rather than concrete signs of progress," said Saxo Bank analyst Ole Hansen. Oil prices have fallen 24 per cent since late October, when contracts traded at $118 a barrel, though figures remain elevated compared to pre-conflict levels earlier this year.

The broader market reaction bolstered global equities as investors recovered from last week's technology sector sell-off. The FTSE 100 gained approximately 30 points to reach 10,813 in early trading, following strong rallies across Wall Street, Frankfurt, and Paris.

Despite the immediate market boost, analysts cautioned that lasting peace remains uncertain. Daniela Hathorn, senior market analyst at Capital.com, noted that the recovery is fragile and heavily dependent on tangible diplomatic progress to sustain the reduced risk premium in energy markets.