FX.co ★ Crude Oil Falls on Diplomacy Hopes

Crude oil prices fell below $101 a barrel on Thursday as markets weighed renewed diplomatic efforts to avert further US military action against Iran. US Vice President JD Vance has reportedly reached out to Iranian officials, while Foreign Minister Abbas Araghchi stated that Tehran remains open to diplomacy. President Donald Trump confirmed that communication with Iranian authorities has taken place, describing it as centered on medical supplies and noting that it is unclear whether negotiations will ultimately succeed. Earlier reports indicated that US officials had advised regional allies to prepare for potential military operations following the November midterm elections. At the same time, Europe plans to release 42 million barrels of oil from strategic reserves over the next three months, including a significant volume of diesel, in a bid to boost available supply and help moderate energy costs.