Oil prices fluctuate amid US-Iran tensions and potential peace deal negotiations

Global oil prices have experienced significant volatility between June 12 and June 13, 2026, driven by diplomatic uncertainty between the United States and Iran. While some reports indicated a sharp decline in prices—with Brent dropping to approximately 85.86 dollars per barrel—as investors hoped for a peace deal and the reopening of the Strait of Hormuz, other sources reported a rise to over 95 dollars following military exchanges. US President Donald Trump stated he suspended planned strikes on Iran, citing progress toward a peace agreement that could be signed as early as the upcoming weekend. Conversely, Iranian officials, including statements via the Fars news agency, have denied reaching a final decision on such a deal. Additionally, Iran previously warned of the closure of the Strait of Hormuz, a critical global energy chokepoint. Market sentiment remains highly reactive to these conflicting diplomatic signals and potential military escalations. Meanwhile, international stock markets, particularly in Asia, reacted positively to the prospect of de-escalation.