Oil Prices Plunge as Strait of Hormuz Operation Halted; Brent Drops $6.97, WTI Falls $7.17 Per Barrel

LONDON / NEW YORK — Global crude oil prices tumbled sharply following the announcement of a halt to military operations in the Strait of Hormuz, as energy markets reacted swiftly to the prospect of restored supply flows through the critical waterway.
According to market data, London Brent Crude fell by $6.97 per barrel, while US West Texas Intermediate (WTI) crude dropped by $7.17 per barrel — marking one of the steepest single-session declines in recent months.
Analysts attributed the sharp price drop to renewed investor confidence in the resumption of oil shipments through the Strait of Hormuz, which had been disrupted during the military standoff. The blockade had kept global oil prices elevated due to fears over supply shortages, and the ceasefire announcement triggered immediate selling pressure across energy markets.
The Strait of Hormuz is one of the world’s most strategically vital maritime chokepoints, through which approximately 20 percent of the global oil supply passes daily. Any disruption to navigation through the strait has historically sent shockwaves through international energy markets.
Market analysts cautioned, however, that price volatility may persist in the short term as investors await confirmation of the full reopening of the waterway and monitor the implementation of any broader diplomatic agreement between the United States and Iran.
Energy traders and importing nations, particularly in Asia and Europe, welcomed the development, as lower oil prices are expected to ease inflationary pressures and reduce fuel costs globally.