US-Iran Ceasefire Deal Sends Oil Prices into Free Fall

US and Iranian officials have reportedly agreed to a ceasefire deal, which is expected to be announced in the coming days. According to sources in Iran and Pakistan, the agreement includes free navigation in the Strait of Hormuz and renewed negotiations under the Islamabad Memorandum of Understanding (MoU).

The market's reaction has been swift, with oil prices plummeting due to the easing of tensions. The international crude benchmark, Brent, fell by over 5.50%, while West Texas Intermediate (WTI), the US crude Oil benchmark, dropped by more than 5%. WTI is considered a high-quality oil and is easily refined.

The deal's impact on oil prices has been significant, with both benchmarks experiencing a sharp decline. The agreement also includes free navigation in the Strait of Hormuz, which will likely have an impact on global oil supplies.