- President Donald Trump said he delayed attacking Iran by two to three days because Saudi Arabia, Qatar, and the United Arab Emirates said they were close to reaching a deal with Tehran.
- Oil prices fell after Trump delayed a planned strike on Iran, easing fears of supply disruption.
- The international benchmark for July delivery fell more than 2% to trade at $109.15 per barrel.
- Futures declined 1.27% to $107.28 per barrel.
- Trump shelved plans for a planned attack on Iran following requests from the leaders of Qatar, Saudi Arabia, and the United Arab Emirates.
- ING stated that oil markets are pricing in persistent supply disruptions in the Middle East.
On Monday, President Trump announced the postponement of a planned military strike on Iran, delaying it by two to three days in response to requests from Gulf allies, notably Saudi Arabia, Qatar, and the UAE. The leaders expressed hopes of achieving an agreement with Tehran amid rising regional tensions.16
"They were close to reaching a deal with Tehran," Trump said, underlining the urgency of diplomatic dialogue over military action. The decision has significant implications for oil markets, as fears over potential disruptions to crude supplies prompted oil prices to tumble.
Following the announcement, the international benchmark for July delivery of crude fell more than 2%, trading at $109.15 per barrel, while futures declined by 1.27% to $107.28 per barrel.45
Analysts noted shifting market sentiments, with ING commenting that “oil markets are continuing to price in persistent supply disruptions in the Middle East.” As the situation develops, the stability of oil prices and overall geopolitical climate remain areas of keen interest to investors and policymakers alike.
“President Donald Trump postponed a planned attack on Iran following requests from Saudi Arabia, Qatar, and the United Arab Emirates. As a result, oil prices fell, easing concerns about potential supply disruptions.”
