Oil prices are falling sharply. Lowered U.S.-Iran tensions and metals spillover is being blamed.

Core Viewpoint - Oil prices are experiencing a significant decline due to reduced tensions between the U.S. and Iran, alongside spillover effects from the metals market [1] Group 1: Oil Price Movement - West Texas Intermediate crude for March delivery dropped 5.5% to $61.60 a barrel, following a 14% increase in January after five consecutive months of losses [1] Group 2: Market Sentiment - The decline in oil prices is attributed to President Donald Trump's optimistic remarks regarding potential negotiations with Iran, which has alleviated some of the fear premium associated with the commodity [1] Group 3: OPEC+ Production Strategy - OPEC+ has indicated that the pause on production hikes will continue, which may influence future oil price trends [1]