Oil prices fell well below $100 after President Trump announced a ceasefire in the Iran War on Tuesday evening.
The global pricing benchmark Brent crude dropped from $111 to $91 as markets opened on Wednesday. The United States domestic oil blend, West Texas Intermediate, fell by nearly 20% to trading at $92.
Brent prices skyrocketed in Operation Epic Fury’s immediate aftermath, shooting from $70 to over $110 in one month. U.S. gasoline prices rose from $2.98 to over $4.10 per gallon as Iranian retaliation shuttered the Strait of Hormuz and the global oil trade, according to AAA.
Oil prices’ steep decline could continue if the ceasefire is maintained and a permanent agreement is reached. For every $10 decrease in Brent’s price, U.S. gasoline drops roughly 24 cents per gallon. However, Brent could soar to previous highs if the conflict heats up again.
Brent crude dipped under $100 mid-war after Trump announced a temporary hold on U.S. strikes against Iranian energy facilities. Prices quickly returned to over $110 after the conflict continued and market confidence fell.
All content created by the Daily Caller News Foundation, an independent and nonpartisan newswire service, is available without charge to any legitimate news publisher that can provide a large audience. All republished articles must include our logo, our reporter’s byline and their DCNF affiliation. For any questions about our guidelines or partnering with us, please contact [email protected].
