Oil Slumps as Trump Says Iran Deal Agreed and Hormuz to Reopen

Crude prices are surging as the Iran war drives the worst supply disruption in oil market history, with no sign of abating. The shock is highly negative for energy consumers and inflation-sensitive sectors, while supporting upstream energy prices and broader commodity volatility. This is a market-wide geopolitical supply shock with significant implications for fuel costs and risk assets.

Analysis

Crude prices are surging as the Iran war drives the worst supply disruption in oil market history, with no sign of abating. The shock is highly negative for energy consumers and inflation-sensitive sectors, while supporting upstream energy prices and broader commodity volatility. This is a market-wide geopolitical supply shock with significant implications for fuel costs and risk assets.