Brent crude oil futures fell by more than 4% to $71.1 per barrel on Monday, giving back part of the strong 7% gain recorded on Friday, which had been driven by escalating geopolitical tensions in the Middle East. The recent decline is attributed to signs of a possible de-escalation between Iran and Israel, as Tehran expressed a willingness to end hostilities and reopen nuclear talks—on the condition that the United States stays out of the conflict.
According to reports, Iran has sent messages through Arab intermediaries to both Washington and Tel Aviv, signaling a softer tone that helped calm market fears. As a result, investors began unwinding some of their riskier positions, which pushed prices lower.
Meanwhile, there has been no major disruption in shipping traffic through the vital Strait of Hormuz, with 111 vessels passing through on June 15 compared to 116 on June 12. Despite this slight decrease, the strait remains a critical chokepoint, handling around 20% of global oil trade—making it a key factor in market stability.
Markets remain on alert, closely watching for any developments that could either reignite tensions or confirm a path toward de-escalation.
