Crude oil prices experienced significant volatility on Monday, surging early in the session before paring gains. West Texas Intermediate (WTI) futures jumped more than 8%, and Brent crude surpassed $97 per barrel after reports indicated Iran had suspended peace negotiations with the U.S. and was threatening to close the Strait of Hormuz. [3, 9, 17]
The sharp rally was tempered later in the day following comments from President Donald Trump. On his social media platform, Trump stated that talks with Iran were "continuing, at a rapid pace," which eased market fears of an immediate escalation in Middle East tensions. [3, 10, 16] Following his remarks, both WTI and Brent crude benchmarks retreated from their session highs but remained significantly higher for the day, with WTI settling above $92 and Brent near $95 a barrel. [4, 5, 17]