Getting close to Iran deal to avoid military action: Trump

US President Donald Trump said on Thursday a deal was close on Iran's nuclear programme that would avert military action, sending oil prices tumbling, as he boasted of raising “trillions of dollars” on a Gulf tour.

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He made the remarks in Qatar before flying on to the UAE for the third and final leg of the tour that began in Saudi Arabia.

“We're not going to be making any nuclear dust in Iran,” Trump said earlier in Doha.

“I think we're getting close to maybe doing a deal without having to do this,” he said, referring to military action.

Oil prices plunged more than three percent following his remarks, on rising hopes for a nuclear deal that could see Iranian exports return to the market. Iran has held four rounds of talks with Trump's administration which has sought to avert threatened military action by Israel while keeping up its “maximum pressure” campaign.