US-Iran Pause Sends Oil Prices Tumbling

Oil prices plummeted over eight percent to $88.36 per barrel as the US and Iran paused their strikes, providing a brief respite for Gulf shipping and the oil industry.

The sudden calm in hostilities helped ease concerns about a resurgence in inflation and fresh interest rate hikes, boosting equity markets globally.

Kathleen Brooks from XTB trading group said that despite the temporary reprieve, resolving the Middle East tensions remains crucial to prevent a decline below $85 per barrel. David Morrison at Trade Nation believes this pause could signal a return to peace talks.