Oil prices fell more than 3% on Monday, Nov. 2, as Iran-Qatar talks entered a third day, raising hopes of an end to the war and easing immediate supply concerns, though risks to shipping and oil flows remained.
At 0712 GMT, Brent oil futures were down 3% at $110 a barrel, while U.S. West Texas Intermediate futures fell 3.4% to $100.62. The fall followed a strong October, when Brent ended the month at its highest level in six months as fears grew that the conflict could worsen. Iranian Foreign Minister Abbas Araqchi said talks with Qatari mediators were continuing, but no deal had yet been announced publicly.
Attacks on tankers traveling through the Strait of Hormuz continued to put pressure on energy and shipping costs. Supply concerns remained in view, even as diplomacy helped bring prices down. Traders were also watching for possible escalation after the U.S. midterm elections scheduled for Tuesday, Nov. 3.
Separately, OPEC and its partner producers kept December production targets unchanged. The conflict continued to disrupt exports.