HOUSTON / SECAUCUS — Oil futures fell by more than $2 a barrel on Tuesday as traders focused on Middle East peace talks, though prices remained near the highest in six months as the Houthi-Saudi Arabia conflict raged on and investors worried about more fighting in the US-Israeli war with Iran, Reuters reported.

Source: Reuters via Euronext Live, Oct 27, 2026 — Oil falls $2 as Middle East talks help ease supply worries

At settlement, NYMEX WTI crude for December delivery fell $1.86, or 1.83%, to $99.90 a barrel, after rising to $102.82 during the session, while ICE Brent for December fell $1.93, or 1.7%, to $113.88, DTN reported. That put WTI back below the $100 mark — yaani, the US benchmark closed under one hundred dollars a barrel for the session despite the intraday spike.

Source: DTN, Oct 27, 2026 — WTI Below $100 Ahead of Hormuz Diplomacy, Fed

$99.90WTI December settlement, down $1.86 (1.83%) — DTN
$113.88Brent December settlement, down $1.93 (1.7%) — DTN
65%Gulf crude exports as a share of pre-conflict levels, ship-tracking cited by DTN, down from 90% at the start of October

The diplomatic push followed Monday's talks in Tehran, where Iranian Security Council chief Mohsen Rezaei met Supreme Leader Ayatollah Mojtaba Khamenei on Tuesday, a day after holding talks with representatives of Saudi Arabia, Turkey and Pakistan, Reuters said. The four countries agreed to continue talks, Iranian state media said.

Scope for peace was dented, Reuters reported, by renewed Houthi attacks: the Houthis said on Tuesday they had struck Saudi Arabia's Ras Tanura oil refinery with a ballistic missile — a claim reported as the group's claim. 'Continued Houthi attacks on Saudi Arabia and the expanding military presence in the Gulf are keeping supply risks in place, even as diplomatic headlines encourage some of the recent premium to unwind,' Gelber & Associates analysts said in a note quoted by Reuters.

October has been the worst month for attacks on commercial shipping in the Strait of Hormuz and nearby waterways, according to data compiled by a Washington-based think tank cited by Reuters. UBS said it expects Brent to stay elevated near $110 a barrel through the end of the year, Reuters reported. For Punjabi and Indian workers in the Gulf and for fuel buyers in India, the level of Brent — still well above $110 — is what keeps transport and remittance costs under pressure even on a down day.

What happens next

The Federal Reserve decision on Wednesday and any follow-up to the Tehran talks are the next price drivers. A formal ceasefire or a reopening of Hormuz would unwind more premium; another strike on Saudi or Gulf shipping would push it back up.