Global Oil Prices Plummet as President Trump Announces Two-Week Ceasefire with Iran

NEW DELHI, April 8, 2026 — Global energy markets experienced a dramatic shift on Wednesday as crude oil prices crashed following President Donald Trump’s announcement of a two-week pause in military strikes against Iran.

Brent crude plummeted to $95.07 per barrel, down from $109.77, while U.S. West Texas Intermediate (WTI) saw an even sharper decline, falling nearly $20 per barrel.

This massive sell-off was triggered by the linked reopening of the Strait of Hormuz, a vital maritime chokepoint responsible for the daily transit of approximately 20% of the world’s oil and gas supply.

The immediate de-escalation allowed investors to unwind panic positions that had previously driven oil prices up by over 50% in March—the steepest monthly increase on record.The breakthrough comes after weeks of intense disruption following U.S.-Israeli operations that began on February 28, which had forced Tehran to effectively shutter the Strait.

President Trump indicated that a long-term peace agreement is currently “in progress,” noting that Iran’s 10-point proposal appears workable as a foundation for diplomacy.

In a reciprocal gesture, Tehran confirmed that safe passage for tankers through the Strait would be guaranteed for the duration of the 14-day truce.

As supply fears subsided, the relief was felt across broader financial sectors; while oil prices tanked, U.S. stock markets surged and bond prices rose, offering a temporary reprieve from the mounting global inflation fears fueled by the recent energy shock.