Oil Prices Rebound After Two-Day Dip on Ceasefire, Trump’s Iran Oil Comments

Oil Prices Edge Higher After Ceasefire and Trump's Iran Remarks

Crude oil prices inched up on Wednesday morning, halting a two-day decline, as geopolitical developments and US policy comments injected fresh sentiment into the energy markets. The rebound followed comments from US President Donald Trump, who hinted at a willingness to allow Iran to continue oil exports following a ceasefire agreement between Iran and Israel.

Ceasefire Agreement Boosts Market Confidence

The oil market responded positively after Trump announced that Iran and Israel should honor a ceasefire, coming shortly after the US military targeted Iran’s nuclear infrastructure. The development brought temporary relief to concerns about potential supply disruptions in the Middle East.

Trump’s Remarks on Iran Oil Supply

In a Truth Social post, Trump stated that China can continue to import Iranian oil, adding that he also expects China to import “lots” of oil from the US. The market viewed this as a potential sign of easing restrictions, though such a shift is far from confirmed.

Mixed Signals from the White House

Despite Trump's suggestive tone, a senior White House official later clarified that US sanctions against Iranian oil exports remain firmly in place, creating policy uncertainty that has left traders cautious about the long-term impact on supply.

Market Snapshot

WTI Crude Oil: Trading modestly higher above $65/barrel
Brent Crude Oil: Up near $67.30/barrel
Outlook: Cautiously bullish short term, but subject to geopolitical risks and US policy clarity

Conclusion

The combination of ceasefire optimism and Trump’s remarks has offered short-term support to oil prices. However, with sanctions still in place, the market awaits clearer policy signals before making a decisive move.