The market rebound coincided with a sharp decline in oil prices as traders unwound geopolitical risk premiums built into crude markets during the recent escalation in tensions surrounding Iran and the Strait of Hormuz. Oil Prices Retreat as Supply Concerns EaseCrude prices recorded their sharpest declines in weeks after Trump confirmed negotiations with Iran would proceed, reducing expectations of prolonged disruptions to global energy supplies. The decline also followed OPEC+'s decision to increase production quotas beginning in September, according to the producer group's official communiqué. The combination of easing geopolitical risks and additional expected supply weighed heavily on oil markets. Investors will now closely watch the outcome of U.S.-Iran negotiations, developments in global oil markets and the progress of the earnings season.