Oil Prices Plummet as US-Iran Hostilities Pause

Oil prices plummeted on Monday after the US and Iran halted hostilities in the region. The US paused its military strikes against Iranian targets, which had been ongoing for 13 consecutive nights, while Tehran also ceased its retaliatory measures.

Brent crude dropped as much as 7 percent shortly after markets opened before trimming early declines to trade 4.17 percent lower at $92.74 per barrel at 7:45 AM UAE time.

West Texas Intermediate fell 4.46 percent to $85.15 per barrel, following the US-Iran pause in hostilities.

Kyle Rodda, senior financial market analyst at Capital.com, noted that strikes have been paused in recent days, reportedly as U.S. strategists reassess their impact.

Crude prices experienced extreme volatility since the conflict erupted on February 28, and Rodda added that they are expected to decline at the start of the week due to optimism about a ceasefire, even if temporary or fragile.