Oil slides below $100 after Trump announces two-week ceasefire

Oil fell below $100 per barrel on Wednesday after ‌US President Donald Trump said he had agreed to a two-week ceasefire with Iran that was subject to the immediate and safe reopening of the Strait of Hormuz. Brent fell $14.84, or 13.6%, to $94.43 a barrel and WTI slid $16.13, ​or 14.3%, to $96.82 a barrel as of 0023 GMT. Trump’s turnaround came shortly before his ​deadline for Iran to open the Strait of Hormuz, where 20% of ⁠the world’s oil transits, or face widespread attacks on its civilian infrastructure. “This will be a ​double sided CEASEFIRE!” he wrote on social media, after posting earlier on Tuesday that “a whole ​civilization will die tonight” if his demands were not met. Fuel prices could keep rising for months after Hormuz reopens, US EIA says Iran said it would halt its attacks if attacks against it stopped and that safe transit through the Strait of Hormuz would be possible for two weeks in ​coordination with Iranian armed forces, according to a statement by Foreign Minister Abbas Araqchi ​on Wednesday. However, multiple Gulf states have identified missile launches and drone attacks or issued warnings to civilians to take shelter. “Even with ‌a ⁠peace deal, Iran may be emboldened to threaten the Strait of Hormuz more frequently in the future, and the market will price in heightened risk to the Strait of Hormuz going forward,” MST Marquee analyst Saul Kavonic said.