US Israel Iran War: On Tuesday, global oil prices crashed like a pack of cards after United States Donald Trump commented that the Iran Israel USA War could end very soon.
On Monday, oil prices climbed as high as $119.50 per barrel during trading, crossing $100 for the first time since the invasion of Ukraine by Russia.
US Israel Iran War: Donald Trump Softens Stance
Donald Trump remarked that the Iran USA Israel conflict was “very complete, pretty much”. Trump also suggested that the conflict could end soon.
After Trump’s remarks, Brent Crude fell sharply before settling at $98.96 per barrel by Monday’s trading end timings.
In Asia, Brent Crude dropped to approximately $92.50 a barrel, a drop of 8.5 percent. On the other hand, US-traded oil fell approximately 9 percent to about $88.60 a barrel. However, oil prices are still about 25 to 30 percent above the level seen before outbreak of the USA Israel Iran war.
Trump Always Chickens Out Factor
According to market analysts, the Trump always chickens out (TACO) factor was always expected to be back and it is no different this time. Market experts say the United States President is infamous for stepping back every time the market falls. It is believed that oil spikes were too much for Trump to handle and therefore he is likely to bring down curtains to the Iran war.
Impact On India
The Indian government has commented that petrol and diesel prices are not likely to be increased by oil marketing companies unless crude prices cross $130 a barrel. However, commercial LPG cylinder deliveries have been severely impacted in many metro cities of the country. Mumbai, Bengaluru, Chennai and Delhi have been the worst hit along with Meerut, Vishakhapatnam, Amritsar, Pathankot and Katra.
The prices of domestic LPG have increased dramatically in the country.
