Global oil prices sharply fell on Wednesday, April 8, 2026, after U.S. President Donald Trump announced a two-week truce agreement with Iran. The truce provides for the immediate and safe reopening of the Strait of Hormuz for tanker traffic.
According to market data, U.S. crude WTI collapsed by roughly 16–19%, dropping below the $94–95 per barrel mark (at certain points falling to $92). The British benchmark Brent also lost 15–18%, trading around $95–104 per barrel depending on timing. This became one of the most dramatic single-day drops in oil prices in recent years.
Several media outlets and analysts described the plunge as the largest one-day fall since the 1991 Gulf War, when prices collapsed amid military action and shifting market expectations. Traders noted that the removal of conflict escalation risks and the resumption of shipments through the key Strait of Hormuz sharply reduced the geopolitical premium embedded in prices.
In contrast, global stock markets showed strong gains: S&P 500 futures rose by more than 2%, while European indices climbed up to 4%. Investors interpreted the truce as a sign of reduced risk and a possible return to stable energy supplies.
The truce is temporary — lasting two weeks — and intended to create space for further negotiations. Experts warn that price stability will depend on how quickly full-scale traffic through the Strait of Hormuz resumes and whether the other terms of the agreement are upheld.