Symbolic imageOil hits two-week low on Iran talks as Gulf growth and Europe's gas buffers strain
Brent crude fell sharply on Monday as Iran and the US signalled continuing contacts to end the war. The conflict is draining Gulf growth and Europe's energy reserves.
Brent dropped more than 6.5% to as low as $105.55 on Monday, 2 November, the lowest since 16 October, according to The Guardian; TASS reported an intraday fall of 8.55%. Iran's foreign minister Abbas Araghchi said, per IRNA, that mediated consultations were intensive, and US vice-president JD Vance cited "a number of good conversations with the Iranians". Reports that Iran's supreme leader had authorised the government to negotiate also lifted markets. Goldman Sachs raised its December Brent forecast to $105 from $90.
Thin energy buffers
ADNOC chief Sultan Al Jaber told the Adipec conference the world needs more storage and refining closer to consumers. Equinor chief Anders Opedal said Europe's gas storage is at a 15-year low; TASS cites 74.89% full on 28 October, 14.79 points below the five-year average.
Gulf growth slump
The Wall Street Journal reports Saudi Arabia's economy shrank 3.8% as oil output fell. Bloomberg says Riyadh firms moved to remote work after Houthi attacks closed the capital's main airport.
Other opinions
TASS stresses European gas, citing Gazprom's chief Alexey Miller, who forecasts up to $2,500 per 1,000 cubic meters in a cold winter.