Oil Drops as Trump Calls Off Planned Iran Strike, Sending WTI Below $103
Updated
Updated · Bloomberg · May 18
Oil Drops as Trump Calls Off Planned Iran Strike, Sending WTI Below $103
3 articles · Updated · Bloomberg · May 18
WTI for July fell below $103 a barrel after President Donald Trump said he canceled a U.S. strike on Iran that had been scheduled for Tuesday.
Trump said Saudi Arabia, Qatar and the United Arab Emirates urged him to hold off because “serious negotiations” are underway, easing immediate fears of a wider supply shock.
The pullback followed a sharp run-up: WTI had climbed 3.3% on Monday, while Brent still closed above $112 a barrel.
The market reaction points to reduced near-term concern over disruption to Persian Gulf energy flows, even as prices remain elevated by the broader Iran conflict.
Iran is now profiting from the very strait the US is blockading. Is this a new sustainable model for sanctioned nations?
Beyond the oil crisis, could Iran's threat to subsea internet cables trigger a far greater global digital catastrophe?
Global Oil Shock and Economic Fallout: The 2026 U.S.-Iran Conflict in the Strait of Hormuz
Overview
As of May 2026, the conflict between the United States and Iran has sharply escalated, with intense hostilities centered around the Strait of Hormuz. Recent actions, such as Iran seizing cargo ships and the U.S. issuing aggressive naval orders, have pushed both sides further from peace talks. This volatile situation has disrupted global oil flows, causing energy prices to surge and fueling worldwide economic uncertainty. The ongoing standoff not only threatens regional stability but also accelerates global shifts toward energy independence, as nations seek to reduce their reliance on this critical and unstable shipping route.