Oil plunges, Dow sees its best day in a year after US-Iran ceasefire, but ‘hurdles remain’ | CNN Business

Oil prices plummeted and stocks surged Wednesday after a fragile ceasefire between the United States and Iran took effect, spurring hopes that oil tankers would be allowed to pass through the Strait of Hormuz. WTI, the US crude benchmark, tumbled 16.41% to settle at $94.41 per barrel. Still, crude is well above the $67 per barrel level it settled at on February 27, before the war began. Brent crude, the global benchmark, dropped 13.29% to settle at $94.75 per barrel, its lowest settle price since March 11 — but also still well above the $73 per barrel level it settled at on February 27. US stocks closed sharply higher: The Dow soared 1,325 points, or 2.85%, and had its best day in a year. The S&P 500 gained 2.51%, and the tech-heavy Nasdaq Composite surged 2.8%. Both WTI and Brent posted their biggest single-day declines since April 2020. Despite the sharp moves, there is uncertainty about the state of the ceasefire and whether more oil tankers will actually be able to resume transit through the critical strait, through which about 20% of the world’s oil supply normally passes. White House press secretary Karoline Leavitt said Wednesday that Iran has assured the White House tha