Baghdad: Oil prices fell on Tuesday amid reports of mediation efforts between the United States and Iran. Brent crude futures dropped 35 cents, or 0.4%, to $88.87 a barrel by 00:52 GMT, while US West Texas Intermediate crude for September delivery settled at $82.47 a barrel.

According to National Iraqi News Agency, the decrease in oil prices comes as news emerged about potential mediation between the US and Iran, which could potentially ease tensions and impact oil markets. The reports of diplomatic engagement have influenced market sentiment, causing a downward trend in oil prices.