Oil Plunges 7.6% as Iran Talks Eclipse OPEC+ December Output Hold

Updated Nov. 2 after the settlement: January Brent crude settled at $104.77 a barrel, down $8.66, or 7.63%, Reuters reported. December WTI was down $7.66, or 7.36%, at $96.46, Reuters said; CNBC said WTI closed at $96.46, its biggest daily loss since July 27. Session lows were $103.28 for Brent and $95.15 for WTI, according to Reuters. The headline, which said oil fell 6%, has been updated to reflect the settlement.

Oil prices fell about 6% by midday on Monday, Nov. 2, as reports of progress toward peace talks on the Iran war outweighed a widely expected decision by OPEC+ to keep its December output targets steady. January Brent crude traded near $106.84 a barrel at about 13:50 GMT, down from Friday's settlement of $113.43, according to Yahoo Finance data and Reuters.

U.S. West Texas Intermediate (WTI) crude for December fell about 6% to near $97.89, from Friday's $104.12 settlement. January Brent is now the front-month contract: December Brent expired on Friday, Oct. 30, at $117.64, Reuters reported.

Oil prices today: Brent and WTI on Monday

Contract	Fri., Oct. 30 settle	Mon., Nov. 2, about 13:50 GMT	Mon., Nov. 2 settle	Change at settle
Brent crude (January)	$113.43	$106.84 (approx.)	$104.77	-7.63%
WTI crude (December)	$104.12	$97.89 (approx.)	$96.46	-7.36%

Sources: Friday's settlements and Monday's Brent settlement from Reuters; Monday's WTI figure is the end-of-session price reported by Reuters and CNBC; midday levels from Yahoo Finance data for the BZF27.NYM and CLZ26.NYM contracts. January Brent's low as of about 13:50 GMT was $105.88.

Why are oil prices falling today?

Hopes for an end to the Iran war are pulling the risk premium out of crude. Reuters reported early Monday that Iranian and Qatari officials held a third straight day of talks aimed at ending the U.S.-Israeli war on Iran. Iranian Foreign Minister Abbas Araqchi said the talks were "ongoing and progressing," according to Reuters. By 04:07 GMT, Brent was down 3.2% at $109.75, Reuters said.

The selling picked up after 13:30 GMT. CNBC reported that oil extended its losses after reports that Iran's supreme leader had granted the government some authority to hold peace talks. CNBC put Brent down 6.1% at $106.50 and WTI down more than 6% at $97.70.

"Oil is seeing a technical pullback this morning after last week's strong gains," Tim Waterer, chief market analyst at KCM Trade, said, according to Reuters. Brent ended October at its highest level in six months, and Reuters said some analysts see a risk of new escalation after Tuesday's U.S. midterm elections.

What did OPEC+ decide for December?

OPEC+ left output unchanged. Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman met online on Sunday, Nov. 1, and decided to "maintain September 2026 required production for December 2026," OPEC said in a statement. Their required production for December totals about 31.01 million barrels a day, led by Saudi Arabia at 10.478 million and Russia at 9.949 million, according to figures published by Arab News.

The decision matched expectations, Reuters reported. Most Gulf members are still pumping well below their targets after months of war disruption. The group finished unwinding a 1.65 million barrel-a-day cut in September, and a further cut of about 2 million barrels a day covers most members through the end of 2026. The United Arab Emirates took part in the monthly decisions until it left OPEC in May, Reuters said.

The bigger test comes on Nov. 29, when all 21 members meet and analysts expect 2027 quotas to be set. "Today's decision was the easy one," Rystad Energy analyst Jorge Leon said, according to Reuters.

For how prices climbed last month, see our story on Brent's jump on Iran strike fears and our guide to what is moving oil prices today.

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