Trump's Iran U-Turn Sends Oil Prices Plummeting

Oil prices plummeted on Monday after President Trump called off plans for military strikes against Iran. The move sparked hopes of a diplomatic solution to reopen the Strait of Hormuz and avoid a broader regional conflict.

The price drop was significant, with West Texas Intermediate futures falling 5.88% to $79.77 per barrel, while Brent futures declined 5.07% to $83.47 per barrel.

This latest selloff comes after a volatile July, during which both benchmarks surged more than 20% due to renewed hostilities between the US and Iran and a blockade of Saudi ports by the Houthis.

The President's decision to call off the planned attack was reportedly influenced by regional leaders who convinced him that a deal was close. This prospect of de-escalation led to oil prices tumbling when markets opened on Monday.