US oil prices tumbled Tuesday as geopolitical tensions in the Middle East intensified. President Trump announced plans to deploy thousands more troops to the region, potentially for ground operations in Iran, even as he claimed progress in peace talks. The White House confirmed that Vice President JD Vance and Secretary of State Marco Rubio were involved in negotiations with Tehran.

Iran has denied direct talks with Washington but acknowledged mediation efforts by other nations. Trump's comments came just days before his Friday deadline for Iran to agree to end the conflict or face intensified US strikes and possible ground troop deployments. The market reacted sharply to the escalating rhetoric, with oil futures dropping as traders assessed the potential for broader regional instability.

The volatility highlights how quickly geopolitical developments can impact energy markets. With Trump's deadline approaching, investors are weighing the risks of military escalation against the prospects for diplomatic resolution. The situation remains fluid, with both sides maintaining conflicting narratives about the state of negotiations.