Oil prices fell on Hormuz relief, which was the key market story on Monday after some vessels sailed through the Strait of Hormuz, easing immediate fears of a total supply choke point. Brent crude settled at $100.21 a barrel, down 2.8%, while U.S. West Texas Intermediate closed at $93.50, down 5.3%, according to CNA’s current market reporting.
The retreat came even as the broader Iran war kept traders on edge. Both benchmarks were still sharply higher than before the conflict escalated, reflecting the sensitivity of energy markets to any sign of disruption in the region.
Oil Prices Fall on Hormuz Relief Despite War Risks
Analysts linked the drop to reports that some tankers were proceeding through the strait. The market also reacted to remarks from U.S. officials indicating they were willing, for now, to allow some Iranian, Indian and Chinese ships to keep moving through the waterway.
That mattered because the Strait of Hormuz handles about one-fifth of global oil and LNG supplies. Even limited movement through the route offered traders a measure of relief after weeks of extreme volatility.
Oil prices fell about 3%, with Brent crude dropping to around $100 a barrel, as some ships resumed passing through the Strait of Hormuz and talk grew of releasing emergency reserves to ease energy prices during the Iran war. Read: https://t.co/ZBNwKvCyvS pic.twitter.com/NDBmesMKSM
— Reuters Business (@ReutersBiz) March 16, 2026U.S. prices fell more sharply than Brent for several reasons, including strong domestic output, Venezuela-linked supply support, the upcoming U.S. Strategic Petroleum Reserve release, and pre-expiry selling in the April WTI contract.
IEA reserves remain in focus
Another reason oil eased was the prospect of more emergency supply. IEA Executive Director Fatih Birol said member countries could release more oil from strategic stockpiles “as and if needed” after agreeing last week to a record 400 million-barrel release.
That signal suggested governments are still prepared to intervene if energy costs keep rising. However, it also showed that policymakers remain worried about how long the war could disrupt flows from the Gulf.
Read: IEA Emergency Oil Reserves Release to Start Soon as Iran War Drives Crude Price Spike
President Donald Trump repeated his call for other countries to help unblock the strait. U.S. allies were not eager to join that effort, and current reporting indicates European governments had little appetite to expand naval operations into the chokepoint.
That hesitation left markets balancing two competing signals. On one side, some tankers were still getting through. On the other hand, there was still no clear multinational solution to secure the route or end the conflict quickly.
