US fuel prices drop as Iran ceasefire deal eases geopolitical tensions

Vice President JD Vance has cast falling fuel costs as a win for the US, telling Fox News the Trump administration would keep working to drive down energy prices.

Oil fell on Monday after the announcement of a ceasefire deal between Washington and Tehran, with Brent crude dropping about 4 percent to $83.82 a barrel, and US West Texas Intermediate (WTI) down 4.6 percent to $80.95.

The move reflects “the market’s reaction to the June 14 US-Iran MOU and the possibility of de-escalation after weeks of heightened risk”, Umud Shokri, a senior visiting fellow at George Mason University, told Al Jazeera.

“Traders are removing part of the geopolitical risk premium that had pushed prices higher,” he said, pointing to easing fears around the Strait of Hormuz.

The fall, he stressed, “does not mean the market suddenly sees weak demand”, rather, investors now believe “the worst-case scenario… has become less likely”.

If the deal holds, Shokri expects prices to “remain under downward pressure in the near term”.

But he cautioned that “implementation risks remain high”, from US-Iran mistrust to sanctions enforcement, and “any sign that the agreement is weakening could quickly bring volatility back”.

https://www.aljazeera.com/news/liveblog/2026/6/14/iran-war-live-trump-says-deal-to-be-signed-today-as-tehran-urges-caution?update=4659686