Brent temporarily below $100 a barrel, stocks rise after Trump's statements

The cost of Brent crude oil fell below $100 per barrel in trading on April 13, the price growth slowed to less than 5%. The cost of U.S. oil WTI declined at a low of $99.04 per barrel, which corresponds to an increase of 2.6% for the day.

Against this backdrop, stocks in the U.S. accelerated growth: all four major stock indices were in the green zone, including the blue-chip Dow Jones Industrial Average, which had been lagging behind, although it was up less than 0.1%. Meanwhile, the broad-market S&P 500 index was up about 0.5%, the tech-heavy Nasdaq Composite was up 0.7%, and the Russell 2000 index of small and mid-cap companies was up 1%.

At the same time, the "Wall Street Fear Index" VIX was also growing: it added more than 2%, but remained below the psychological mark of 20 points, although at the beginning of trading it reached 21.58 points. VIX above 20 points indicates increased volatility.

US President Donald Trump's statements could be a reason for market optimism. He told reporters that the Iranian side had contacted the US on Monday after the failure of bilateral talks in Pakistan over the weekend.

"We got a call this morning from the right people, the right people. And they want to work on a deal," Trump noted. He did not specify who exactly called and what issues were discussed.

Trump said the U.S. and Iran reached agreement on many points at talks in Islamabad, but did not agree on Tehran's abandonment of its own nuclear program. "I think they will agree, I'm pretty sure of it. In fact, I'm confident of it," the US president said on Monday. He added that he would like to see this war over.

Contacts between the U.S. delegation and Iranian leaders have continued after failed talks over the weekend in Islamabad, CBS News reported, citing sources. According to one of them, there are "advances in trying to reach an agreement." Axios correspondent Barak Ravid also reported on social media X, citing a U.S. source, that communication between the U.S. and Iran has continued and there is progress.

The U.S. and Iran held talks in Islamabad on April 11-12 that ended in failure. As a result, Trump demanded to organize a blockade of the Strait of Hormuz, which is crucial for oil exports from the Persian Gulf countries. Before the war, about 20 percent of global crude shipments passed through the Strait of Hormuz, but after the outbreak of hostilities, Iran effectively halted shipping.

The embargo, as Trump claims, began on Monday, April 13. The failure of negotiations and escalation by the United States led to an 8% rise in Brent prices and a decline in U.S. stock index futures on Sunday evening.

This article was AI-translated and verified by a human editor