U.S. crude oil rises 1% after selloff following Israel-Iran ceasefire

U.S. crude oil futures rose 1% on Wednesday, after the Iran-Israel ceasefire triggered a steep selloff earlier this week.

U.S. West Texas Intermediate futures contracts rose 65 cents, or 1.01%, $65.02 per barrel by 9:00 a.m. ET. Global benchmark Brent was last up 69 cents, or 1.03%, at $67.83 per barrel.

Prices briefly jumped to five-month highs after the U.S. bombed three nuclear sites in Iran over the weekend. But futures rapidly sold off on Monday and Tuesday after Iran held back from targeting regional crude supplies, and President Donald Trump pushed Jerusalem and Tehran into a truce.

“With the announcement of a ceasefire [Monday], President Trump called time on the twelve-day Israel-Iran war after successfully executing an escalate to de-escalate strategy,” Helima Croft, head of global commodity strategy at RBC Capital Markets, told clients in a note Tuesday.

“The worst appears over for now,” Croft said, “though the truce still remains fragile.”