Oil slumps to $83 on Hormuz reopening

June 15, 2026 (MLN): Oil prices plunged Monday after US President Donald Trump declared that Washington and Tehran have finalised an agreement to reopen the Strait of Hormuz to maritime traffic.

Currently, Brent crude futures is down by $4.64, or 4.05%, to $83.28 per barrel, according to data by Mettis Global.

West Texas Intermediate (WTI) crude futures is down by $5.03, or 4.27%, to $80.61 per barrel by [09:58 am] PST.

President Trump confirmed the agreement with Iran in a post on Truth Social, stating that the strait would reopen without any toll mechanism and that the US would lift its naval blockade against Iran, CNBC reported.

He urged vessels to resume operations through the waterway immediately.

He added that once mine-clearance operations are completed following Friday's signing, oil flows would resume from both directions of the strait for the region and the broader global market.

Roughly one-fifth of the world's oil supply had previously transited through the Strait of Hormuz before tanker movements collapsed in early March amid Iranian attacks, an event described as the largest oil supply disruption on record.

Pakistan's Prime Minister Shehbaz Sharif said Sunday that the US and Iran had agreed to an immediate and permanent halt to military operations across all fronts, including Lebanon.

Shehbaz Sharif, who has played a mediating role between the two countries, thanked both Washington and Tehran for pursuing a diplomatic resolution and said mediators would hold meetings this week to set the groundwork for technical discussions and the formal signing event.

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