Oil Prices Eased After US and Iran Pause Attacks
Oil prices eased on Sunday after the US and Iran paused their attacks for a second straight day, reversing some of last week's gains. The price for a barrel of Brent crude oil to be delivered in September dropped 4.9% to $92.02, following a 3.9% decline on Friday.
The surge in oil prices this month was driven by increased fighting in the Middle East and concerns over a return to all-out war, which would further slow global crude flow. The Strait of Hormuz, a critical shipping route through which a fifth of the world's oil is transported, has been under threat since the US and Israel attacked Iran in late February.
Oil producers have searched for alternative routes, but these are also facing pressure. Last week, attacks hit Saudi oil tankers using the Red Sea to leave the region.