Global Oil Prices Drop Following Iran-Israel Ceasefire, Analysts Warn of Risks

Global oil prices weakened during trading on Tuesday, 9 June 2026, after Iran and Israel indicated a temporary halt to attacks that had triggered global energy market concerns over recent days. The easing of the conflict has reduced fears of oil supply disruptions, although investors remain wary of the possibility of new escalations in the Middle East region.

According to the Economic Times, as of 07:25 local time, Brent crude prices fell by 0.60 per cent to US$93.72 per barrel, or approximately Rp1.69 million per barrel, assuming an exchange rate of Rp18,000 per US dollar. Meanwhile, US West Texas Intermediate (WTI) crude prices weakened by 0.50 per cent to US$90.83 per barrel, equivalent to Rp1.63 million per barrel. This decline follows a day where oil prices surged by up to 5 per cent due to recent Israeli attacks on Iran and strikes in Lebanon, which had heightened market fears of a broader Middle Eastern conflict.

However, sentiment shifted after the Iranian military announced the end of military operations against Israel. Nevertheless, the market remains sceptical as to whether this cessation of attacks can be sustained in the long term.

Iran and Israel have stated they have halted attacks against one another after US President Donald Trump urged both nations to immediately cease hostilities. Despite agreeing to stop the attacks, both nations continue to issue warnings regarding the possibility of renewed conflict. Iran asserted it would launch further attacks if Israel continues to target Hezbollah groups in Lebanon. Conversely, Israeli Prime Minister Benjamin Netanyahu stated his country would respond harshly should Iran resume attacks.

Trump also revealed to Axios that he had warned Netanyahu against resuming war with Iran. According to Trump, Israel risks facing such a conflict alone if it chooses to return to war. Beyond the military conflict, market attention is currently focused on the Strait of Hormuz, the world’s most critical oil shipping lane. Prior to the commencement of US and Israeli airstrikes against Iran in late February, approximately 20 per cent of the world’s oil supply passed through this route.