Commodities● Neutral
Brent Crude Drops 7% After US Pauses Iran Strikes
Brent fell below $90 before recovering to $92 after the US paused airstrikes on Iran. Houthis claimed attacks on Saudi ports, but analysts say de-escalation hopes remain fragile as key issues persist.
Continue with
Brent crude fell more than 7% at the open on Monday, dipping below $90 a barrel before recovering to trade near $92. The drop came after the US held off on strikes against Iran since late Friday, following 13 consecutive days of attacks. Iran’s army said Tehran had suspended its responses.
West Texas Intermediate also declined, along with European natural gas. The global benchmark, tracked in our crude oil profile, had surged more than 25% this month as the conflict spread from the Strait of Hormuz to the Red Sea.
Still, the risk of disruption remains. Tehran-backed Houthis in Yemen said they struck facilities linked to Saudi Aramco in the Red Sea port towns of Jizan and Yanbu on Saturday. Neither Riyadh nor Aramco confirmed the claim. Saudi authorities issued emergency warnings for two provinces over the weekend before lifting them.
Yanbu has become the kingdom’s key crude export outlet, handling millions of barrels a day since the Strait of Hormuz became effectively shut. Jizan is home to an Aramco refinery and export terminal. The East-West pipeline that terminates at Yanbu now carries the bulk of Saudi oil to global markets.