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US Oil Update: Crude Edges Lower After Trump Postpones Strike on Iran

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Oil prices eased on Tuesday after US President Donald Trump posted on Truth Social that he paused a planned military strike on Iran at Qatar's request.

Brent crude futures fell 0.7% to $111.32 per barrel, while West Texas Intermediate oil futures were steady at $108.76/bbl.

"Developments in the Middle East continue to dictate oil price action, with the market remaining sensitive to any Iran-related headlines," ING analysts said.

Saxo Bank analysts noted that the sudden downward shift in market momentum was directly triggered by a Truth Social post from President Trump, who stated, "Have been asked by Qatar to hold off the Iran attack, which was scheduled for tomorrow."

However, the fundamental physical landscape remains severely constrained.

Transit through the critical Strait of Hormuz, the choke point for roughly one-fifth of global oil supply, continues to operate at only a small fraction of its pre-war baseline.

The physical toll of these prolonged disruptions is already manifesting heavily in Asian downstream processing volumes.

Fresh macroeconomic data out of China underscores a sharp contraction in the domestic oil sector.

According to ING, Chinese refineries processed 13.35 million barrels per day of crude oil in April.

This represents a 5.8% year-on-year decline and marks the lowest crude throughput level for the world's largest oil importer since August 2024, confirming that supply-driven bottlenecks and high import costs are actively curbing global demand, ING added.

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US Oil Update: Futures Settle Higher After Trump Says Planned Iran Attack Put on Hold

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Oil & Energy

Cape of Good Hope Share of US-Asia LPG Voyages Hits Highest Since 2016, Vortexa Says

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Oil & Energy

Middle East Conflict Could Push Asia Towards Coal, Renewables, Wood Mackenzie Says

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US Oil Update: Crude Edges Lower After Trump Postpones Strike on Iran | FINWIRES