WTI drops as Trump speech cools Iran war worries

Oil futures fell sharply, logging lowest settlement since mid-December, as comments from U.S. President Donald Trump calmed nerves surrounding a potential war with Iran.

WTI crude for February delivery CLG20, +0.22% on the New York Mercantile Exchange fell $3.09, or 4.9%, to settle at $59.61 a barrel. That was the lowest finish for a most-active contract since Dec. 12, according to Dow Jones Market Data.

Prices had seen a sharp but brief spike late Tuesday, brought on by Iranian missile strikes at bases in Iraq where U.S. troops are stationed. In a speech Wednesday, Trump said Iran “appears to be standing down” following those strikes, and announced fresh sanctions on Iran, MarketWatch reported.