Oil Prices Slide as U.S.-Iran Pause Raises Hopes for Diplomacy, but Supply Risks Persist
LONDON — Global oil prices fell sharply on Monday after the United States and Iran suspended military operations following two weeks of escalating attacks, raising hopes that a diplomatic path could prevent a broader regional conflict and eventually restore disrupted shipping routes through some of the world's most important energy corridors. Brent crude futures dropped more than 5 percent during early trading, while U.S. West Texas Intermediate (WTI) crude also posted significant losses as investors reacted to signs that both sides may be willing to allow more time for negotiations. The decline follows weeks of heightened volatility in global energy markets, during which fears of supply disruptions in the Middle East pushed oil prices sharply higher. At the height of the tensions, Brent crude briefly approached the psychologically significant $100-per-barrel level as concerns mounted over the security of oil shipments passing through the Strait of Hormuz. However, market a...
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