Oil prices fall after Trump praises indirect negotiations with Iran in New York

Oil prices fell after Donald Trump praised the indirect negotiations between officials from his administration and representatives from Iran through mediators. The president, hours after his harsh speech against the Ayatollah regime at the UN, described the conversation as "very good."

Trump's remarks allowed oil prices to fall back below the psychological $100 threshold. At the close of Asian markets, a barrel of Brent stood at $99.25, while WTI fell to $89.92

Witkoff is confident that talks will continue

U.S. Special Envoy Steve Witkoff, stated on Tuesday in a post on his X account that officials from the Trump administration and the Iranian regime participated in indirect negotiations on the sidelines of the United Nations General Assembly in New York, with mediators shuttling between the two sides. "Today, on the sidelines of the United Nations General Assembly, we engaged in lengthy talks with the Iranian delegation through the mediators, who shuttled between the two sides throughout the day," Witkoff said.

Witkoff explained that the mediators managed to complete a new round of talks and are expected to continue participating as the diplomatic effort proceeds; the special envoy did not identify any of them nor provide details on which U.S. and Iranian officials participated in the talks.

Iranian threats and U.S. sanctions against the regime

The talks are taking place just one day after Iran's Islamic Revolutionary Guard Corps (IRGC) warned that, if the United States launches new attacks against its territory, it will respond with new weapons and different targets, including targets that have not yet been attacked. In statements reported by Iranian media, IRGC spokesman Hossein Mohebbi said there will be "significant changes" in their defense and counteroffensive, and that they are prepared for a "protracted war."

That same Monday, Treasury Secretary Scott Bessent warned that as of September 23, all Iranian airlines will be effectively cut off from the international financial system. "If they land, they will not be able to receive fuel, landing services, or ticket sales without those providing them being expelled from the dollar system," he said in an interview.

This measure comes on top of sanctions imposed this month against all Iranian airlines that had not yet been penalized, as well as foreign companies that support Iran's aviation sector.