Israel-Iran ceasefire impacts crude oil prices
Oil prices just took a big dip after US President Trump announced a temporary ceasefire between Israel and Iran.
This move has calmed worries about major supply disruptions, especially through the Strait of Hormuz—a key route for the world's oil.
Cheaper oil is good news for wallets
Cheaper oil could mean lower transport costs and less pressure on inflation, which is good news for everyone's wallet.
The market had been tense, with prices spiking over fears that conflict might block oil shipments. Now, those risks are easing.
US crude drops 5% to $65 a barrel
Right after the ceasefire news, US crude dropped 5% to $65 a barrel and Brent fell nearly 4%.
Earlier price jumps didn't have much backup since there was plenty of supply and not enough demand.
With tensions cooling off, markets are focusing on real supply-and-demand again—so things should stay steadier for now.