Oil Prices Plummet as US-Iran Tensions Ease
Crude oil and gasoline prices declined on Monday as tensions in the Middle East eased. The US and Iran held off on further attacks for a third day, and Iran signaled it would refrain from retaliation as it negotiated with Oman over the Strait of Hormuz.
The easing of tensions weighed on energy prices, causing crude oil to drop 7.50% and gasoline to fall 2.52%. However, losses in crude accelerated after President Trump said the US paused Iran strikes to give peace talks a chance.
Tensions remain high in the Middle East as the US maintains its blockade of Iranian oil shipments. Houthi militants in Yemen claimed to have struck facilities linked to Saudi Aramco in the Red Sea port towns of Jizan and Yanbu on Saturday, which could further disrupt global crude supplies.