Crude oil futures crashed 11% on Friday after the United States and Iran announced that the Strait of Hormuz would be open as the two sides iron out a peace agreement.

May West Texas Intermediate (WTI) crude oil futures plummeted $10.50, or 11.09%, to $84.19 a barrel at 13:43 GMT on Monday on the New York Mercantile Exchange. US crude will register a 10% weekly loss.

Brent, the global benchmark for oil prices, also fell more than 10% to $89 a barrel.

Iranian Foreign Minister Seyed Abbas Araghchi announced on X on Friday that the Strait of Hormuz, a global chokepoint for a fifth of the world’s oil supply, will be “completely open.”

“In line with the ceasefire in Lebanon, the passage for all commercial vessels through Strait of Hormuz is declared completely open for the remaining period of ceasefire, on the coordinated route as already announced by Ports and Maritime Organisation of the Islamic Rep. of Iran,” he said on the social media platform.

President Donald Trump quickly confirmed that the vital waterway will also stay open, but the blockade would remain in “full force.”

“IRAN HAS JUST ANNOUNCED THAT THE STRAIT OF IRAN IS FULLY OPEN AND READY FOR FULL PASSAGE. THANK YOU!” Trump said on Truth Social.

“THE STRAIT OF HORMUZ IS COMPLETELY OPEN AND READY FOR BUSINESS AND FULL PASSAGE, BUT THE NAVAL BLOCKADE WILL REMAIN IN FULL FORCE AND EFFECT AS IT PERTAINS TO IRAN, ONLY, UNTIL SUCH TIME AS OUR TRANSACTION WITH IRAN IS 100% COMPLETE. THIS PROCESS SHOULD GO VERY QUICKLY IN THAT MOST OF THE POINTS ARE ALREADY NEGOTIATED,” he said in a follow-up post.

In other energy commodities, natural gas futures were little changed at $2.64 per million British thermal units (Btu). Heating oil futures plummeted 10%, while gasoline futures declined 7%.