Global crude prices dropped by five percent following a weekend pause in military strikes between the United States (US) and Iran, according to international media reports.
The fragile pause after two weeks of military engagement raised expectations of a diplomatic resolution that could lower tensions and allow vessel movement to resume through the Strait of Hormuz.
Brent crude futures dropped $4.89, or 5.05 percent, to trade at $91.89 a barrel, after briefly dipping below $90 earlier in the session.
US West Texas Intermediate (WTI) crude fell $4.67, or 5.23 percent, to $84.64 per barrel.
Both benchmarks are trading at their lowest levels in nearly a week, ending a three-week upward movement.
Brent had previously touched $100 per barrel as the conflict halted oil transport through the Strait of Hormuz and extended into the Red Sea, impacting exports from Saudi Arabia through the Bab el-Mandeb strait to Asian markets.
