On Tuesday, October 17, the price of oil dropped more than 2% due to progress in negotiations between the United States and Iran, which alleviated concerns over potential conflicts that could impact oil production. The Brent crude oil, a global benchmark, fell to $66.82 per barrel early in the day but recovered slightly to $67.54 by mid-afternoon, marking a 1.62% decline. Similarly, West Texas Intermediate (WTI) oil traded at $62.40, experiencing a 0.54% drop after reaching a low of $61.77 during the session.

The negotiations between the two nations not only affected oil prices but also led to a decline in gold prices, which fell by 2.2% as investors moved away from safe-haven assets. By 3:30 PM, gold was priced at $4,884.46 per ounce. The strengthening of the US dollar, which rose by 0.3% against a basket of other currencies, also contributed to the decreased demand for gold, indicating that market sentiment was shifting towards riskier investments despite fluctuating geopolitical concerns.

This drop in commodity prices reflects how closely global markets react to political developments, particularly those involving major oil-producing countries. As negotiations progress, this could signal a potential stabilization of oil supply and prices, further influencing the broader economic landscape, particularly in energy-dependent economies like Brazil, where such fluctuations have far-reaching implications for local markets and consumers.