Oil prices fell sharply in the second quarter as traders bet on a US-Iran peace deal, though tanker traffic in the Strait of Hormuz remains subdued.
Brent crude posted its steepest quarterly decline since 2020, shedding nearly 40% in Q2 amid optimism over a potential US-Iran peace agreement. The drop reflects market expectations that tensions in the Middle East may ease, reducing supply disruption risks.
Despite the price decline, traffic in the Strait of Hormuz—a critical chokepoint for global oil shipments—remains below pre-war levels. Tanker crossings fell to around 11 on Tuesday, down from a peak of 24 last Wednesday, signaling lingering supply chain concerns.
Analysts caution that the market may be premature in pricing in a lasting resolution, as geopolitical risks persist. No immediate market reaction was reported following the latest traffic data.