The price of Brent crude oil fell below $80 a barrel for the first time since the start of the conflict between the US, Israel and Iran, after Iranian oil tankers resumed deliveries, and markets remained optimistic about a possible agreement between Washington and Tehran, writes The Guardian.
Brent fell to $79.96 a barrel - its lowest level since March 3, reached in the first week after the start of military action against Iran.
The decline means that the international oil benchmark has lost about $15 a barrel from levels last Thursday, when optimism about a potential deal between the US and Iran.
Prices fell further after Iranian state media reported that Iranian oil tankers had resumed deliveries following a deal with Washington.
A reporter on Iranian state television said:
"Three Iranian oil tankers are currently sailing in the northern Indian Ocean, while two others, carrying essential goods and livestock feed, are on their way to southern ports."
He added that "the operation to lift the naval blockade has been carried out", which observers said suggested an easing of the US-imposed naval blockade.
Despite the positive market reaction, European allies at the G7 summit did not seem to share US President Donald Trump's optimism that the Strait of Hormuz would be reopened by Friday.