Oil prices eased on Friday morning as markets reacted to renewed optimism over a possible U.S.–Iran ceasefire, though trading remained volatile amid continuing disruptions to global supply flows. Brent crude futures were last quoted at around $97.5 per barrel in early trading, down from the previous session’s gains but still holding near the $100 mark after a week of sharp swings, according to market data and trading reports. The pullback follows comments by U.S. President Donald Trump, who struck an upbeat tone on the prospects of a deal with Iran, saying Tehran had agreed to key terms including steps toward reopening the Strait of Hormuz. Iran has not confirmed the claims, and officials caution that a full agreement could take months. Despite the diplomatic signals, physical oil markets remain under strain. The nearly 50-day conflict has severely disrupted flows through the Strait of Hormuz, a critical artery for global crude shipments, with Iranian restrictions and a U.S. naval blockade keeping volumes sharply reduced. The situation has triggered one of the most significant supply shocks in recent years, reshaping global trade flows and pushing buyers in Europe and Asia to seek alternative supplies. READ ALSO AfDB, European Stability Mechanism Seal Cooperation Deal to Boost Africa’s Financial Stability Ambitions Oil Volatility, Gas Disruptions Strengthen Case for Nuclear in Ghana’s Power Mix Business Moguls, Entrepreneurs and Young Professionals Drive Surge in Real Estate and Automobile Sectors The United States has emerged as a key beneficiary of the disruption, with crude exports rising to near-record levels as refiners abroad scramble to replace Middle Eastern barrels, moves that have brought the U.S. closer to net exporter status for the first time since World War Two. A temporary 10-day ceasefire between Israel and Lebanon has also helped ease some regional risk premiums, though traders remain cautious about the durability of any broader peace framework. Analysts say the market is currently being driven by two competing forces: short-term diplomatic optimism on one hand, and persistent structural supply constraints on the other. Until flows through Hormuz normalize, they add, oil markets are likely to remain highly sensitive to political headlines and prone to rapid reversals in sentiment. Share this: Share on X (Opens in new window) X Share on Facebook (Opens in new window) Facebook Like this:Like Loading... Related