Oil Prices Plummet as Middle East Tensions Ease

Oil prices plummeted on Monday as concerns over supply disruptions in the Middle East and Black Sea eased, reversing part of this month's geopolitical risk premium.

Brent crude dropped by more than 9% intraday before stabilizing around $90/bbl, while West Texas Intermediate also declined after the U.S. paused military strikes against Iran following nearly two weeks of attacks.

The pause reduced immediate concerns that the conflict could further disrupt regional oil flows or commercial shipping through key export routes.