Oil settles lower on peace hopes

Brent crude ended Monday at USD115.81 a barrel, down 91 cents, while US West Texas Intermediate settled at USD101.76, a decline of USD1.51. Business Recorder reported that both benchmarks pulled back after gains on Friday, with Brent still close to a six-month high.

Expectations of diplomatic progress in the Middle East put downward pressure on prices, but attacks on Saudi infrastructure and commercial shipping kept market participants cautious. Saudi Arabia, Turkey and Pakistan held talks with Iranian officials, while October was reported as the worst month for attacks on shipping in the Strait of Hormuz and nearby waterways. The International Energy Agency chief also said he did not expect energy markets to return to pre-war conditions in 2027.