**Global Market Snapshot: February 3, 2026** **Energy Markets** Oil prices have retreated significantly, breaking a period of stability as geopolitical risk premiums unwind. **Brent Crude** is currently trading around **$65.89** per barrel, while **WTI Crude** has dipped to **$61.73**. The market is reacting to a sharp de-escalation in Middle East tensions, with traders pricing in the reduced likelihood of supply disruptions. **Geopolitical Developments** Sentiments have shifted following the confirmation that **U.S. and Iranian officials** will resume direct diplomatic talks this Friday in Ankara. This breakthrough, mediated by regional partners, has immediately cooled fears of a wider conflict, acting as the primary driver for the bearish turn in energy prices. **Trade Relations** In a major policy shift, the U.S. and India have finalized a new trade agreement. Under the deal, the U.S. has slashed tariffs on Indian goods to **18%** (down from 25%). In exchange, India has agreed to halt purchases of Russian oil, signaling a strategic realignment that is expected to impact global crude flows and strengthen bilateral commercial ties. **Currency Performance** The **U.S. Dollar Index (DXY)** has strengthened to **97.52**, up approximately **0.55%**. The greenback’s rally is supported by robust domestic economic data and shifting expectations regarding Federal Reserve policy, providing a stable backdrop for the unfolding shifts in global trade and energy dynamics. I can monitor the outcome of the Ankara talks this Friday for further impact on oil volatility.