Oil prices plunged, and European stocks rebounded Monday after US President Donald Trump ordered a halt to strikes on Iranian energy infrastructure after claiming “very good” talks with Tehran.
Trump’s comments sparked a sharp reversal on markets, with crude prices sinking as much as 14 per cent after rising around one per cent earlier in the day.
Around 1145 GMT, international benchmark Brent North Sea crude was down 6.7 per cent at $104.70 per barrel.
The main US oil contract, West Texas Intermediate, slumped 6.9 per cent to $91.41 per barrel, having earlier topped $100.
European stocks turned higher following earlier declines of about 2.5 per cent that had been triggered by Trump and Iranian leaders trading threats over the key Strait of Hormuz.
Frankfurt’s stock market went on to rebound 1.5 per cent, nearing midday, while Paris rose one per cent.
READ ALSO: Trump Postpones Iran Power Plant Strikes After ‘Very Good’ Peace Talks
London’s FTSE 100 index, weighed by sharp losses for energy heavyweights BP and Shell, was flat.
The United States and Iran “have had, over the last two days, very good and productive conversations regarding a complete and total resolution of our hostilities in the Middle East”, Trump wrote, in all capitals, on his Truth Social platform.
AFP
