Oil plummets as Russia seeks resumption of Iran nuclear deal | Reuters

Oil plummets as Russia seeks resumption of Iran nuclear deal | Reuters

Oil prices dropped to their lowest in almost three weeks on Tuesday as Russia indicated it is in favour of the Iran nuclear deal resuming as soon as possible.

Ceasefire talks between Russia and Ukraine further eased fears of supply disruptions and surging COVID-19 cases in China fuelled concerns about slower demand.

Brent futures were down $8.90, or 8.3%, to $98 a barrel at 1125 GMT, while U.S. West Texas Intermediate (WTI) crude was down $8.97, or 8.7%, to $94.04 a barrel.

Both benchmarks fell below $100 a barrel for the first time since March 1.

Brent has lost almost $40 since 14-year highs reached on March 7, while WTI has fallen by over $30 since touching highs since 2008 almost a week ago.

The sharp decline in prices follows a statement from Russian foreign minister Sergi Lavrov on Tuesday that Moscow is in favour of the 2015 Iran nuclear deal resuming as soon as possible and is waiting for Washington to lift sanctions on Tehran. read more