Brent Crude Falls Below $90 for First Time Since August as Trump Says Iran War Could End ‘Fairly Soon’

Brent crude fell below $90 a barrel Tuesday for the first time since August, extending a slide that has knocked about 23% off the global benchmark since Oct. 30 as President Donald Trump signaled the war with Iran may be winding down.

Brent was down $2.39, or 2.58%, at $90.18 by 4:30 a.m. Eastern after dipping under $90 earlier, Reuters reported. U.S. West Texas Intermediate fell $2.11, or 2.43%, to $84.74. Brent had already settled down 5.85% on Monday.

The benchmark touched a six-month high of $118 on Oct. 30, as traders feared Trump might step up attacks on Iran after the midterm elections.

Trump said Monday at the White House, after meeting Qatari Prime Minister Sheikh Mohammed bin Abdulrahman Al Thani, that the conflict appeared to be nearing an end, CNBC reported.

“We’re seeing momentum toward the end of this conflict. I think it’s going to be ending fairly soon,” Trump said. “Iran militarily is effectively over.”

“At this point, taking the military action doesn’t seem to be a very necessary thing,” the president added, according to The National.

Trump also posted on Truth Social that Qatar, Saudi Arabia, the United Arab Emirates, Bahrain and Kuwait would “prefer the status quo,” keeping the U.S. naval blockade of Iran in place rather than launching new strikes.

Supply Fears Ease

Analysts said oil’s risk premium is coming out as Gulf barrels return. Crude flows through the Strait of Hormuz have largely recovered, CNBC reported.

“The market has continued to unwind some of the geopolitical risk premium built into prices in recent weeks as expectations grow that the conflict between the US and Iran could move towards de-escalation,” ING strategists Ewa Manthey and Warren Patterson wrote in a note Tuesday.

“The market continues to prioritise President Trump’s more conciliatory tone toward Iran since the midterms,” said Tim Waterer, chief market analyst at KCM Trade, in comments to Reuters.

Some analysts also see signs of a glut. JPMorgan estimated a global surplus of about 1.4 million barrels per day in October, and a Reuters survey found OPEC output rose that month, led by Saudi Arabia, Kuwait and Iraq.

Risks remain. “The US naval blockade in the Strait of Hormuz remains in place, meaning the market still faces a significant supply risk if tensions escalate,” Axel Rudolph, chief technical analyst at IG, told The National.

FXStreet noted WTI was trading near its 10-week low of $84.25 set Monday.

Drivers are already seeing relief. The AAA national average for regular gasoline fell to $3.9788 a gallon Tuesday, its first reading below $4 since July, CBS News reported.

That is still well above the roughly $3.07 drivers paid a year ago, Dow Jones reported. Brent started 2026 around $60 a barrel before the Iran war sent it as high as $130 in March and April, CNBC reported.

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