economy
Oil prices on track for steepest monthly fall since 2020
Brent crude futures down 19% since end of April amid hopes of US-Iran peace deal, while stock markets rally
TL;DR
- Oil prices are experiencing their biggest monthly fall since 2020.
- Investor optimism is high due to hopes for an end to the US-Israel war on Iran.
- A draft peace agreement has been circulated, with reports of a tentative ceasefire extension.
- The war had previously caused economic disruption, including the closure of the Strait of Hormuz.
- Global stock markets have rallied across Asia, Europe, and the US.
- Markets are pricing out stagflationary outcomes as oil prices decrease.