Oil prices fell sharply in European trading on Monday following President Donald Trump’s announcement that a planned strike on Iran had been canceled over the weekend and amid reports of potential diplomatic talks between Washington and Tehran that could ease tensions in the Middle East.
According to The Guardian, Brent crude was trading down nearly 5% at $83.50 per barrel after falling as low as $81.55 during the session. U.S. benchmark West Texas Intermediate (WTI) crude also dropped by more than $5, reaching $79.47 per barrel.
The decline follows weeks of volatility in global energy markets. Just last week, oil prices appeared poised to surge further as escalating security tensions fueled concerns over supply disruptions. During July, both Brent and WTI crude gained more than 20%, driven by renewed hostilities between the United States and Iran and attacks on tankers in the Strait of Hormuz, which raised fears about shipping disruptions along one of the world’s most important energy transit routes.
Fuel prices in Israel, which rose above the NIS 8-per-liter mark over the weekend after a relatively prolonged period below that level, could also be affected by the broader market trend. If the decline in oil prices continues, Israeli motorists may see fuel costs return closer to levels seen before the latest round of regional tensions, providing some relief for household budgets.