The announcement of a ceasefire between the United States and Iran and hints of a limited opening of the Strait of Hormuz prompted an immediate reaction in international energy markets, with crude oil prices falling by nearly 14 percent in a matter of hours.
The situation is expected to stabilize somewhat after the two sides agreed to a 15-day ceasefire on Tuesday night. At the same time, Iranian Foreign Minister Abbas Araghchi said that the Strait of Hormuz would remain open to international shipping during this period, although certain security conditions must be met.
According to market analysis, the price of Brent crude in the global market has fallen to around $94 per barrel since the ceasefire was announced, a significant drop compared to the previous day. Similarly, the price of another benchmark oil has also seen a double-digit decline.
Analysts say the promise to keep the Strait of Hormuz, a vital route for global energy supplies, open has reduced fears of a supply crunch in the market, sending prices plummeting.