Brent crude prices fell sharply in early trading as a temporary cessation of attacks between the United States and Iran removed immediate supply disruption fears from the market.
The geopolitical de-escalation over the weekend has allowed traders to unwind positions built on Strait of Hormuz shipping risks, pushing the benchmark toward the $68 per barrel level.
European equity markets are opening in positive territory, reflecting a broader risk-on sentiment as the immediate threat to energy supply chains recedes.
The shift marks a reversal from the risk-off mood that dominated Wednesday’s session, when Brent was sliding amid concerns over both geopolitical instability and a weaker-than-expected US jobs report.
The Oslo Stock Exchange had previously opened in negative territory, weighed down by sector-specific selling rather than broad macro pressures.
However, the easing of Middle East tensions provides a tailwind for energy-heavy portfolios, potentially stabilizing regional indices that have been volatile due to the conflict.