Oil Prices Drop Below $100 on US-Iran Ceasefire

Oil prices plunged below $100 per barrel on Wednesday, marking the steepest one-day decline in years, after the United States and Iran announced a two-week ceasefire that includes the reopening of the Strait of Hormuz, a vital waterway for global energy shipments.

The agreement, reached just before a U.S. deadline for potential strikes on Iranian infrastructure, eased fears of prolonged disruptions in the Middle East conflict that began in late February. Benchmark Brent crude fell more than 13 percent to settle around $95 per barrel, while West Texas Intermediate crude dropped over 15 percent to about $96 per barrel. Prices had surged above $115 earlier in the week amid concerns over the strait’s closure, which handles roughly 20 percent of the world’s seaborne oil trade.

U.S. President Donald Trump confirmed the ceasefire late Tuesday, stating it provided a "workable basis" for negotiations following Iran’s submission of a 10-point proposal. The plan calls for ending regional conflicts, ensuring safe passage through the strait, lifting sanctions, and supporting reconstruction. Trump had issued multiple ultimatums since the war’s outset, threatening to target Iranian power...