Traders invest $500 million in oil before Trump delays Iran attack, triggering a market selloff and price plunge
Traders bet $500 million on crude oil just before U.S. President Donald Trump announced a delay to an attack on Iran’s energy infrastructure.In the brief period leading up to the announcement, a significant selloff in oil and natural gas began.
Market reaction
Brent crude fell by as much as 15% following the announcement, indicating potential de-escalation in the region.
Between 10:49 and 10:50 GMT, traders placed bets on 5,100 lots of Brent and WTI crude futures, valued at over $500 million.
Selling dominated during this timeframe, though the identities of the traders remain unknown.
At 1105 GMT, over 13 million barrels of oil changed hands in just 60 seconds.
Brent crude prices dropped from $112 to around $99, while WTI fell from nearly $99 to $86 during this period.
The Intercontinental Exchange and CME Group did not immediately comment on these trading activities.
The U.S. Securities and Exchange Commission and the White House also declined to comment.
Price updates
Oil prices have risen more than 40% since the conflict in the Middle East began in late February.
Trading volumes have surged, with average daily volumes for Brent crude futures doubling to over 1 million lots.
Currently, Brent oil hovers just below $104 amidst ongoing uncertainty regarding the global economy.
