Energy Preview: Oil tumbles sharply on US-Iran ceasefire

WTI crude oil futures slumped over 17% in early Asia on Wednesday in reaction to reports that the US and Iran have agreed to a two-week ceasefire. US President Donald Trump said he has agreed to a proposed two-week ceasefire between the US and Iran if shipping traffic is allowed to move through the Strait of Hormuz. This comes following Trump?s warning Iran that he could target important infrastructure like power plants and bridges if Tehran did not agree to his demands, which include reopening the Strait of Hormuz. WTI crude oil is currently down 17.20% at $95.75 per barrel whereas Brent is down over 14% under $95 mark.

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