Fall in oil price! Brent slips below $100 as Trump delays strikes on Iranian power plants
Oil prices fell sharply on Monday after US President Donald Trump ordered a halt to planned military attacks on Iranian power plants and energy infrastructure for five days, reducing fears of an escalation in the Middle East conflict.Brent crude fell more than 15% during the session to as low as $96 a barrel, falling below the $100 level for the first time since March 11. US benchmark West Texas Intermediate (WTI) also slipped 13.5% to a session low of $85.28.However, by 1130 GMT, Brent again reached $104 per barrel, while WTI was at $90.55.Brent crude prices had surged more than 60% since the start of the Middle East crisis, rising to nearly $112 a barrel on Monday before Trump’s announcement.The surge came as oil prices rose above $100 a barrel following attacks on Iranian ships that disrupted traffic through the Strait of Hormuz, a key global oil transit route, amid the Middle East conflict.On India’s Multi Commodity Exchange, crude for April delivery initially rose Rs 362, or 4%, to an intraday high of Rs 9,620 a barrel. However, prices later reversed sharply and fell Rs 827 or 9% to Rs 8,431 per barrel, hitting the lower circuit limit, PTI reported.Earlier in a post on Truth Social, Trump said he had “directed the War Department to suspend all military strikes against Iranian power plants and energy infrastructure for a period of five days.”He said the pause depended on the “success” of ongoing “meetings and discussions”.“We have had very good and productive conversations over the last two days between Washington and Tehran regarding a complete resolution of our hostilities in the Middle East,” Trump said.Earlier, Trump had warned Iran to reopen the Strait of Hormuz within 48 hours or face military action targeting key energy facilities. Tehran responded by threatening to “irreversibly destroy” critical infrastructure across the region, including water systems, and targeting power plants that supply electricity to US bases.The temporary de-escalation eased concerns over supply disruptions, leading to a sharp decline in oil prices after last week’s surge.However, the broader outlook remains uncertain. The International Energy Agency (IEA) had earlier warned that the ongoing conflict had created a global energy crisis.Speaking at the National Press Club in Australia, IEA chief Fatih Birol said, “This crisis is now a combination of two oil crises and a gas disaster.” He cautioned that the global economy faces serious risks, saying, “The global economy faces a big, big threat today, and I sincerely hope that this issue will be resolved as soon as possible.” Emphasizing the need for coordinated global action, Birol further warned that “if any country continues to move in this direction, it will not be left untouched by the impact of this crisis.”


