Oil Prices Plummet 9% After Iran Opens Strait of Hormuz

Oil prices plummeted by around 9% on Friday after Iran declared that all commercial vessels could pass through the Strait of Hormuz, a crucial waterway for global oil supplies. The announcement came as negotiations between the US and Iran made progress, with both sides agreeing to end the war.

Brent crude futures settled down $9.01, or 9.07%, to $90.38 a barrel, while US West Texas Intermediate crude futures fell by $10.48, or 11.45%, to $83.85 a barrel. Both contracts experienced their largest daily declines since April 8.

Iran's senior official confirmed that all ships could sail through the strait, but coordination with Iran's Islamic Revolutionary Guard Corps was necessary. The US and Iran have made progress in negotiations over a three-page memorandum of understanding to end the war.