Oil Prices Plummet as US-Iran Tensions Ease

Oil prices plummeted on Monday after the US and Iran called off military strikes in the Persian Gulf, a move that has lifted concerns over global oil supply.

The price of Brent crude oil for delivery in September fell by 4.66% to $92.27 per barrel, while US crude oil (WTI) dropped 5.02% to $84.83 per barrel.

This decline marks a reversal from last week's two-month high of $102 per barrel, which was reached amid escalating tensions in the Middle East and fears of a return to all-out war.

The Strait of Hormuz has been a major concern for the oil market since the US and Israel attacked Iran in late February, causing a halt in maritime traffic through this key waterway. Oil producers have sought alternative routes, but these too are under pressure.