Oil prices have gone into decline! US-Iran negotiations affected the markets

Oil prices extended last week's sharp decline into the new week as traders bet on progress in diplomatic talks between the United States and Iran, with the prospect of a deal easing concerns over energy supply. The prior week's selloff reflected expectations that an agreement could reduce supply-side risk, though statements from US officials and Houthi attacks in Yemen signaled that Middle East supply risks remain. The market is weighing potential sanctions relief and restored Iranian crude exports against persistent geopolitical disruption. Traders will watch the next round of US-Iran negotiations and any escalation in the Red Sea for direction.