Oil Prices Plunge as US-Iran Tensions Ease
Oil prices plummeted by almost 5% on Monday after a pause in US and Iranian strikes over the weekend raised hopes for a diplomatic solution.
The Brent crude futures contract fell $4.89, or 5.05%, to $91.89 per barrel, while the US West Texas Intermediate crude contract was at $84.64 a barrel, down $4.67, or 5.23%.
This decline marks the lowest levels for both contracts in nearly a week, following three weeks of rising prices.
The conflict between the US and Iran had driven oil prices up to $100 per barrel earlier this month, as reduced shipments through the Strait of Hormuz hindered exports from Saudi Arabia.
US Ambassador to the United Nations Mike Waltz stated that President Donald Trump decided to pause US attacks to allow for more time for diplomacy, sparking hopes of a genuine diplomatic path opening up.