Oil Drops as US Pauses Iran Strikes, Opens Diplomatic Channel Through Oman

Oil prices fell July 27, 2026 after the US paused strikes on Iran and opened talks via Oman to reopen the Strait of Hormuz, a chokepoint carrying roughly one-fifth of global oil consumption. Trump's conditions: no Iranian nuclear weapons and a full strait reopening. Iran halted retaliatory strikes after the pause. The April ceasefire collapsed after three months.