WTI crude oil futures eased to about $91.50 per barrel after briefly climbing above $95 earlier on Monday, following Iran’s announcement that it had ended its military operations against Israel. The statement from Iranian media reduced fears that a renewed escalation would derail negotiations between Tehran and Washington to extend their ceasefire and gradually resume oil exports through the Persian Gulf.
Even so, Israel has not signaled any clear move toward de-escalation. The first direct strikes between Iran and Israel since their ceasefire had already sent oil futures sharply higher at the start of the week.
Meanwhile, OPEC+ approved a further increase in its July oil production quotas of 188,000 barrels per day, despite ongoing supply risks linked to Middle East tensions. At the same time, fresh data showing a sharp pullback in Chinese oil imports also helped temper supply concerns, as Asia’s largest crude consumer has been drawing down inventories instead of relying on overseas purchases since the conflict began.
