Oil has fallen for the first time since the US launched a war against Iran

Oil prices fell on Wednesday for the first time since the US launched a war against Iran, as Treasury Secretary Scott Besant said the Trump administration would support oil tankers plying in the Persian Gulf and announced more measures in the coming days.

US crude oil It fell 82 cents, or 1.1%, to $73.74 a barrel by 8:18 a.m. ET. Global benchmark Brent It was down 57 cents, or 0.7%, at $80.83.

WTI crude has soared to nearly $78 a barrel this week since the US and Israel launched massive airstrikes on OPEC member Iran over the weekend. Iran has retaliated with missile and drone attacks on targets in the Middle East, including energy infrastructure.

US crude rose 6% on Monday and 5% on Tuesday.

Oil markets have calmed after President Donald Trump announced on Tuesday that the US would insure the tanker through the International Development Finance Corporation. Trump promised naval escorts for oil shipments in the Persian Gulf if needed.

Oil reduced as Besant told CNBC On Wednesday, the White House will make a series of announcements to support the Gulf oil trade.

“We have a series of announcements that we’re going to make,” Besant told CNBC’s “Squawk box.” “We began yesterday with the announcement that DFC will provide weekend insurance for crude carriers and cargo ships operating around the Gulf.”

Tanker traffic through the Strait of Hormuz has come to a standstill as ship owners fear they could become targets of Iranian retaliation. This strait is the world’s most important chokepoint for oil trade. 20% of global oil consumption is exported through the strait.