US Suspension of Air Strikes Sends Oil Prices Tumbling

Oil prices plummeted on Monday, settling at their lowest levels in over a week, as the US suspended its campaign of air strikes against Iran. This move has raised hopes for a diplomatic solution that would allow shipping to resume in the Strait of Hormuz.

Brent crude futures fell $8.42, or 8.7%, to settle at $88.36 a barrel, the lowest since July 17. US West Texas Intermediate crude futures dropped $6.70, or 7.5%, to close at $82.61, the lowest since July 16.

The suspension of air strikes has given diplomats more time to negotiate a potential deal between the US and Iran. President Donald Trump said there's 'a good chance that something could happen' in regard to a deal, but warned of strong military action if diplomacy fails.