Global oil prices settled about $1 higher on Monday after Iran and Israel signaled a pause in attacks following an appeal from Donald Trump. Earlier in the day, prices had surged more than 5% amid fears of escalating conflict in the Middle East.
Tensions remain high, with Iran warning it could resume attacks if Israel continues military operations in Lebanon against Hezbollah. Markets are also concerned about disruptions in the strategically important Strait of Hormuz, through which a significant share of global oil and gas supplies passes.
Meanwhile, OPEC+ approved another output increase, though analysts believe its impact will be limited due to production constraints among member countries.
