President Donald Trump called off planned U.S. military strikes against Iran after negotiators reported a diplomatic breakthrough, sending crude oil prices tumbling and easing pressure on global energy markets.
Traders said the abrupt cancellation of the operation removed a near-term supply shock premium that had built into Brent and West Texas Intermediate benchmarks during weeks of escalating confrontation in the Middle East.
Energy analysts noted that refiners and major importers gained immediate breathing room as futures contracts slid sharply, though many cautioned that any breakdown in talks could quickly restore volatility.
Financial markets more broadly responded with relief as investors weighed reduced odds of a wider regional conflict disrupting tanker traffic through the Persian Gulf.
Diplomatic sources on June 12, 2026 said reopening the Strait of Hormuz and lifting shipping restrictions remained central to any ceasefire arrangement.
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Sources:
https://www.npr.org/sections/world/