Business

Oil prices retreat on easing US-Iran tensions

Crude benchmarks hover near multi-week lows as prospects of diplomatic progress and recovering Middle Eastern shipments weigh on prices

Updated 52 minutes ago · Published on 11 Nov 2026 8:43AM

Oil prices retreat on easing US-Iran tensions
Stronger US dollar adds pressure on the ringgit - November 11, 2026

GLOBAL oil prices remained under pressure on Wednesday, with US crude trading near US$86 a barrel and Brent below US$92, as signs of easing tensions between Washington and Tehran raised hopes of a possible diplomatic settlement.

US President Donald Trump suggested that further military strikes against Iran might no longer be necessary, reinforcing expectations of de-escalation after weeks of conflict.

The US benchmark has fallen nearly 20 per cent from its late-October peak, while Brent has declined more than 20 per cent over the same period, reversing much of their earlier gains.

The price retreat has also been supported by the recovery of Middle Eastern oil shipments to almost prewar levels, despite continued attacks on vessels in the Strait of Hormuz.

However, uncertainty remains as Iran is demanding relief from US sanctions and the naval blockade before agreeing to peace talks.

Meanwhile, the US dollar strengthened amid expectations that the Federal Reserve could maintain a more aggressive monetary tightening path following higher-than-expected inflation figures and hawkish remarks by policymakers.

US consumer prices rose 0.4 per cent in October, above market expectations of 0.3 per cent, while core inflation increased 0.3 per cent for the third consecutive month, also exceeding forecasts.

Fed Governor Christopher Waller warned that a 50-basis-point rate increase in December might be necessary, while Dallas Fed President Lorie Logan supported at least two further 25-basis-point increases.

Markets have priced in an approximately 88 per cent probability of a 25-basis-point hike at the Fed's next meeting, with further increases in January and potentially April also being considered.

The US dollar index stood at 102.211 on Tuesday, up 0.55 per cent from the previous session.

In the domestic foreign exchange market, the ringgit weakened against the US dollar, with the exchange rate reaching 4.0660 on Wednesday, up 0.26 per cent from the previous session.

The currency's movement reflected a firmer US dollar, although the ringgit had gained 0.62 per cent against it over the past month and 1.83 per cent over the past 12 months, according to the figures provided. - November 11, 2026

Spotlight

Malaysia

Rosmah thankful as Najib returns home under house arrest

Malaysia

‘Quit Cabinet if you disagree with Anwar,’ Loke challenges BN MPs

Malaysia

‘If anything happens, we’ll crowdfund!’ Anwar jokes with Trevor Noah

Malaysia

UMNO prepared to disclose details of RM50m collected for Najib house arrest

Malaysia

Father arrested after 12-year-old son falls from car near Nilai toll plaza

Malaysia

Anthony Loke resigns as Transport Minister

Malaysia

Woman with disabilities found dead after two-hour search in Tawau

You may be interested

Business

Oil prices extend losses on Middle East peace hopes