Oil prices plunged below $100/bbl after the US and Iran agreed to a two-week ceasefire on 7 April, easing fears of prolonged supply disruption. Brent fell as much as 16% before trading around $94/bbl, according to ING Think, ING Global Markets Research.
However, prices rose on accusations that the ceasefire was breached shortly after it took effect. Brent crude rose by 3% to $97.62 a barrel around 9am Singapore time today.
The ceasefire agreement was reached on 7 April (US Eastern time, which was 8 April Singapore time) before the deadline set by US President Donald Trump ran out at 8pm US Eastern Time on 7 April for Iran to end its de facto closing of the Strait of Hormuz and meet other demands of the US. More than 800 vessels are estimated to be trapped in the Persian Gulf because of the closure.
Oil price to hover
Separately, UOB Global Economics and Markets Research says that Brent crude is likely to hover around $100 per barrel in the near term, despite the temporary two-week ceasefire in the Middle East.
In a note on 8 April, the research house said disruptions in the global physical energy market are expected to persist, amid significant damage to key infrastructure and ongoing logistical bottlenecks. A substantial portion of the region’s energy infrastructure — including refineries, pipelines and ports — has been damaged, with repairs likely to take months or, in some cases, years, it noted.
“It remains uncertain how many tankers and ships will be able to take advantage of this crucial window,” UOB said.
Brent crude, the global benchmark, surged following the outbreak of the US-Israel-Iran conflict on 28 February 2026. The benchmark traded as high as $119.50 per barrel in late March, its highest level since 2022.