Oil prices rebounded sharply after initial sell-off on cease-fire speculation, closing up 0.85% as geopolitical risks resurfaced.
WTI crude oil futures settled at $82.48, gaining $0.70 or 0.85%, following a volatile session driven by shifting geopolitical developments. Prices swung between a high of $84.60 and a low of $79.58 after reports of a potential 10-day cease-fire and eased Strait of Hormuz tensions triggered aggressive selling.
The initial decline was short-lived as traders questioned the durability of the cease-fire and renewed concerns over Middle East supply risks. Stronger rhetoric from Washington and Tehran, along with reports of U.S. military planning and explosions across the region, fueled a swift recovery. The rebound erased all losses, pushing prices firmly into positive territory by the close.
The technical outlook also improved, with the hourly chart showing a recovery above key moving averages after the brief dip below the 100-hour support level.