Oil Prices Fall Sharply as Signs of Easing US-Iran Tensions Boost Market Confidence

Global oil prices fell significantly after signs emerged of easing tensions between the United States and Iran, raising hopes that the conflict could shift back toward diplomatic negotiations.

According to Reuters, investor sentiment improved after US President Donald Trump decided to temporarily halt further military strikes against Iran. The move fueled expectations that both sides may return to diplomatic engagement, reducing fears of a broader regional conflict.

Brent crude futures dropped 5.8% to **$91.20 per barrel**, while US West Texas Intermediate (WTI) crude fell 5.5% to **$84.40 per barrel**.

The report noted that crude oil prices had surged above **$100 per barrel** last week amid escalating tensions between Washington and Tehran. However, the announcement of a pause in US military action eased immediate concerns over further escalation, leading to a sharp decline in oil prices.