Hot Commodities: Oil slumps 6% to $83 as US-Iran pause eases supply fears

Crude oil prices plunged more than 6% to around $83 per barrel, while MCX August crude futures fell 6% to ₹8,074 per barrel, after the US and Iran refrained from launching fresh strikes over the weekend, raising hopes for de-escalation in the Middle East and improved oil flows through the Strait of Hormuz. Brent, which had briefly surged to $100 per barrel during the conflict, has now retreated to its lowest level in nearly a week, reversing part of its three-week rally. The sharp decline in oil prices also weighed on the US dollar, with the dollar index slipping below 101 as easing supply concerns reduced inflation fears. Investors are now closely watching the upcoming US Q2 GDP report, PCE inflation data, and earnings from major US companies for fresh clues on the outlook for economic growth, inflation, and the Federal Reserve's policy path.

Powered by Commodity Insights