Oil Prices Surge 5% as Trump Ends Iran Ceasefire

Oil prices increased by 5% after U.S. President Donald Trump declared that the ceasefire with Iran was over, which followed renewed strikes in the Middle East.

This announcement triggered concerns over potential Iranian attacks on ships in the vital Strait of Hormuz. The international benchmark Brent North Sea crude rose approximately 5% to around $78 per barrel, while the main U.S. contract, West Texas Intermediate, also rallied by 5%.

In response to these developments, European stock markets, including Paris and Frankfurt, saw declines of around 2%, while London’s market dropped nearly 1.5%. The geopolitical risks have heightened market volatility, with analysts noting that the U.S. may launch extensive strikes against Iran, further escalating tensions.

The situation has raised concerns about oil supply disruptions and inflation, which could pressure the Federal Reserve to increase interest rates.