Trump says Iran talks in final stages, oil prices slump

Oil prices fell six per cent on Wednesday after US President Donald Trump said that negotiations with Iran were in the final stages, though investors remain wary about the outcome of peace talks as disruption to Middle Eastern supply continues.

Brent crude futures fell $6.64, or 5.97 per cent, to $104.64 a barrel by 13:45 EDT (17:45 GMT) and US West Texas Intermediate futures were down $6.49, or 6.23 per cent, at $97.66.

Trump said that negotiations with Iran were in the final stages but warned of further attacks unless Iran agrees to a deal. Iranian foreign ministry spokesperson Esmaeil Baghaei said Iran was ready to develop protocols for safe shipping traffic in co-operation with other coastal states, without providing further details.