
Why Crude Oil Slid While Middle East Tensions Kept Building
The crude oil pullback from monthly highs is running ahead of the headlines, as WTI and Brent ease while Middle East tensions stay unresolved.
Stay in step with market opportunities and get insights, actionable trade ideas and dedicated support.

The crude oil pullback from monthly highs is running ahead of the headlines, as WTI and Brent ease while Middle East tensions stay unresolved.

Donald Trump’s speech at the UN seems to have poured cold waters on any hopes of a deal. Crude oil, the US dollar and bond yields all bounced back from their lows, causing fresh pressure on foreign currencies, European indices and to a lesser degree precious metals.

U.S. stocks are heading for a modestly stronger start as investors awaited developments over potential talks between the U.S. and Iran.

Despite mounting geopolitical risks, crude oil prices have declined more than 10% from their monthly highs. Combined with overbought momentum readings on the DXY and dollar pairs, this increases the risk of a near-term reversal.

U.S. stocks have opened higher as Treasury yields retreat and crude oil prices fall to an 11-day low.

Oil falls as US-Iran diplomatic hopes rise again. GBP/USD struggles on Fed-BoE divergence.

Heading into the week ahead, the macro calendar is quieter. But for as long oil remains supported, the US dollar forecast will remain bullish. Not only will oil prices be important for determining the direction for the dollar and USD/JPY, but bond yields too, and by extension, risk appetite.

U.S. stocks are heading higher, extending yesterday's post-Fed bounce, with the tech-heavy Nasdaq leading the way as falling oil prices help ease inflation concerns.

U.S. stocks have opened higher, following a two-day slide, as lower oil prices and falling Treasury yields have brought some relief after the Federal Reserve's interest rate decision.

The DAX has opened significantly higher following the Federal Reserve's delivery of its first interest rate hike since 2023. Although the Fed signaled further tightening, the market reaction was surprisingly positive, as much of the hawkish expectation had already been priced in. Attention now shifts to the 25,900–26,000 point range, which will likely determine whether the current recovery evolves into a new upward wave or remains merely a short-covering rally.

U.S. Stocks have opened lower on Tuesday as rising oil prices and elevated Treasury yields dampen demand for equities ahead of tomorrow's FOMC rate decision.

The BRICS summit call for maximum restraint has not removed the security premium in the energy complex, with an unresolved U.S. Iran situation and transit risk through the Strait of Hormuz still in the frame

It’s a big week ahead with a widely expected FOMC rate hike followed by a Bank of Japan rate decision. But perhaps more pressing are moves showing in US Treasuries and Oil and what that might entail for the macro landscape.
StoneX Europe Ltd may make third party material available on this website which may contain information included but not limited to the conditions of financial markets. The material is for information purposes only and does not contain, and should not be construed as containing, investment advice and/or investment recommendation and/or an investment research and/or an offer of or solicitation for any transactions in financial instruments; any decision to enter into a specific transaction shall be made by the client following an assessment by him/her of their situation.
StoneX Europe Ltd makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplied. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. We are not under any obligation to update any such material. Any opinion made may be personal to the author and may not reflect the opinion of StoneX Europe Ltd.