Oil Prices Plummet After Trump Predicts Middle East War End

Oil prices plummeted on Tuesday after US President Donald Trump predicted an end to the war in the Middle East, lowering expectations of prolonged disruptions to oil supply.

Brent futures fell $10.45, or 10.6%, to $88.51 a barrel by 1504 GMT, while U.S. West Texas Intermediate (WTI) crude dropped $10.61, or 11.2%, to $84.16.

The price decline followed Trump's comments on Monday that the war against Iran was 'very complete' and Washington was 'very far ahead' of his initial four- to five-week estimated time frame for a resolution.

Despite Trump's optimism, analysts warned that restarting oil production after a prolonged shutdown could take weeks or even longer. 'When the conflict ends, cranking up the supply chain won't be swift,' said Simon Flowers, chairman and chief analyst at Wood Mackenzie.