Oil market volatility following diplomatic efforts to end Iran conflict

Global oil and gas prices experienced significant volatility this week, with Brent crude reaching over $100 per barrel on Monday before falling to the $80-$95 range on Tuesday. This decline followed statements from U.S. President Donald Trump, who suggested that the war against Iran is nearing its end. Additionally, reports citing U.S. intelligence indicate that Iran is planning to place naval mines in the Strait of Hormuz, a critical transit point for 20% of global oil shipments. Analysts from the Rapidan Energy Group have described the potential disruption in the Strait as the largest in history. Meanwhile, diplomatic efforts have intensified, with Russian President Vladimir Putin holding talks with both President Trump and Iranian President Masoud Pezeshkian to discuss de-escalation. Despite these efforts, Saudi Aramco has warned of catastrophic consequences for global markets if shipping in the Strait remains disrupted. Market reactions have been positive in Asia, with major stock indices rebounding as investors digest the prospects of a quick resolution.