The United States has authorized the sale of Iranian crude oil and petrochemical products, marking a significant easing of decades-old sanctions as part of a broader push toward a final peace agreement with Tehran.
The US Treasury Department issued a general license permitting the production, delivery, and sale of these goods through August 21.
This move comes in exchange for Iran's commitment to reopen the Strait of Hormuz, directly addressing the shipping disruptions that have plagued global energy markets.
Brent crude fell sharply in the session as traders priced in the immediate supply relief.
The repricing reflects a rapid shift in risk sentiment, with the threat of a prolonged Hormuz closure receding.
Energy stocks followed oil lower, as the premium for geopolitical risk evaporated from valuations.