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Oil prices fall as Iran opens Strait of Hormuz following Israel-Lebanon ceasfire

Iran has declared the Strait of Hormuz open to commercial shipping during the 10-day ceasefire between Israel and Lebanon.

Vessels must, however, follow a “coordinated route” set by Iran’s maritime authorities, the country’s foreign minister said.

“In line with the ceasefire in Lebanon, the passage for all commercial vessels through the Strait of Hormuz is declared completely open for the remaining period of the ceasefire,” Seyed Abbas Araghchi wrote on social media.

He added that ships must transit via the route announced by Iran’s maritime officials.

Israel and Lebanon agreed on Thursday to a 10-day ceasefire beginning at 5pm ET that evening (10 pm Nigeria time).

Israel’s military campaign in Lebanon against Hezbollah — a close ally of Iran — has complicated negotiations between Washington and Tehran.

President Donald Trump thanked Tehran for reopening the strait in a social media post but said the US naval blockade of Iran’s ports will remain in place until an agreement with Tehran is reached.

Following the news, oil prices tumbled more than 10%, dropping below $90 a barrel.

Before the conflict, roughly one fifth of the world’s crude supplies passed through the strait; its closure has caused the largest disruption to oil supplies in history.

Only a handful of commercial vessels have been transiting the waterway each day during the US–Iran stand-off.

Trump had agreed on 7 April to a two-week ceasefire in return for Iran fully reopening the strait.

Iran’s parliamentary speaker, Mohammad Bagher Ghalibaf, accused the US of breaching that deal by allowing Israel to continue operations in Lebanon.

Negotiations between Vice‑President J.D. Vance and Ghalibaf in Pakistan last weekend failed to secure a permanent end to the US–Iran war.

Trump said US and Iranian negotiators could meet again in Pakistan this weekend for a second round of talks.

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