Global oil prices declined after US President Donald Trump announced a temporary pause on attacks targeting Iranian energy infrastructure, easing fears of further supply disruptions amid ongoing tensions in the Middle East.
Brent crude futures fell to around $107 per barrel, while US West Texas Intermediate (WTI) crude dropped to approximately $93 per barrel following the announcement.
The decision comes as part of a 10-day pause in military action, aimed at creating space for diplomatic negotiations between Washington and Tehran. Trump stated that talks were progressing positively, signalling a possible de-escalation in the conflict.
Oil markets reacted immediately, as the pause reduced concerns over potential damage to Iran’s energy facilities and disruptions to global supply chains. Analysts noted that prices had previously surged due to fears of escalation but began to ease once diplomatic signals emerged.
Despite the drop, markets remain volatile. Experts warn that oil prices are still highly sensitive to developments in the conflict, with any renewed escalation likely to trigger sharp increases.
The conflict, which began in late February following US-Israeli strikes on Iranian targets, has already significantly impacted global energy markets and raised concerns about supply shortages, particularly due to risks surrounding key routes such as the Strait of Hormuz.