Updated
Updated · The Guardian · Nov 10
Brent Crude Falls 3% to $89.66 as Trump Says Iran War Is Effectively Over
Updated
Updated · The Guardian · Nov 10

Brent Crude Falls 3% to $89.66 as Trump Says Iran War Is Effectively Over

3 articles · Updated · The Guardian · Nov 10

Summary

  • Brent crude slid nearly 3% to $89.66 on Tuesday, its lowest since Aug. 31, after Donald Trump said war with Iran was “effectively over” and military action was not needed “at this point.”
  • That drop followed a near 6% fall on Monday as traders unwound the conflict risk premium, betting easing Middle East tensions could keep energy prices moving lower.
  • Europe’s Stoxx 600 rose 0.9% to 662.54 and London’s FTSE 100 added 0.4%, while airlines gained on lower fuel-cost hopes and oil majors BP and Shell fell 1.7% and 1.5%.
  • Lower crude could ease inflation pressure, but markets were still awaiting October US inflation data for signs the Federal Reserve might eventually soften its policy stance.
  • UK drivers have already seen some relief: average petrol prices fell 5p a litre since early October to 169.7p, and the AA said wholesale trends point to another 10p cut.

Insights

If futures markets are distorting physical risks, could a sudden breakdown in U.S.-Iran diplomacy trigger an unprecedented oil price spike?
Are hidden offshore tanker transfers masking the true fragility of Middle East oil flows despite recent diplomatic optimism?
With massive pipeline workarounds now active, has the world's most dangerous shipping choke point permanently lost its geopolitical leverage?