Archive · 4 Aug 2026
Oil Prices Drop as Trump Cancels Planned Iran Strike
The United States decided not to attack Iran, which made oil prices go down.
The price of Brent oil fell to about $84 a barrel, and WTI oil went below $81.
A tanker exploded near Oman, showing that the area around the Strait of Hormuz is still dangerous.
Turkey and Iraq agreed to keep a pipeline open for more oil to leave the region.
The big oil group OPEC said it would make a small increase in how much oil it produces.
These events all happened because the US and Iran are trying to talk instead of fight.
Brent crude fell 7.3% to below $84 per barrel after President Trump announced US would begin fresh talks with Iran and cancel a planned strike.
WTI crude traded below $81 per barrel; European natural gas prices dropped 6.3% during early Asian trading.
A tanker explosion off Oman and a projectile hit on an LNG vessel highlight ongoing security risks around the Strait of Hormuz.
Turkey and Iraq extended their oil pipeline agreement, allowing up to 750,000 barrels per day exports.
OPEC approved a modest increase in production quotas, while Kazakhstan’s Caspian Pipeline Consortium resumed normal operations.
- Who
- US President Donald Trump and Gulf oil producers
- What
- US cancels planned strike on Iran, oil prices fall, security incidents near Strait of Hormuz
- When
- Sunday announcement and early Asian trading
- Where
- United States, Iran, Strait of Hormuz, Oman, Turkey, Iraq, Kazakhstan
- Why
- To prioritize diplomacy and reopen the Strait of Hormuz
- Brent crude price
- $84 per barrel
- WTI crude price
- $81 per barrel
- Oil price drop
- 7.3%
- Natural gas price drop
- 6.3%
- Pipeline agreement extension
- 750,000 barrels per day
- OPEC production quota change
- modest increase
