The price of %CrudeOil fluctuated wildly on media reports that Israel has engaged in a limited strike against Iran, raising fears of an expanding war in the Middle East.
Crude prices jumped more than 3% on news that Israel carried out a missile strike against Iran in retaliation for last weekends attack on Jerusalem.
However, after the initial jump higher, crude oil prices retreated and are now in decline.
Brent crude oil, the international benchmark, is currently trading at $86.49 U.S. per barrel, down 0.71% from the previous day.
West Texas Intermediate (WTI) crude oil, the American standard, is trading at $82.14 U.S. per barrel, also down 0.71% over the last 24 hours.
Oil prices retreated after Iranian officials in Tehran played down the Israeli strike and said they do not plan to respond, easing concerns of an escalating regional conflict.
Last weekend, Iran launched hundreds of drones and missiles over Jerusalem after a suspected Israeli attack on its embassy in Syria.
Most of the Iranian drones and missiles were shot down by the Israeli and U.S. militaries, resulting in minimal damage.
Separately, gold’s price surged to an all-time high of $2,411.09 U.S. per ounce before paring its gains as Middle East tensions subsided.