Oil prices decelerated to a more than three-and-half month low Wednesday as buyers drew enthusiasm from a potential peace deal between Iran and U.S. in sight – formally culminating more than 100-days of tensions in West Asia which also transpired in the closure of the crucial energy route, the Strait of Hormuz.

Crude oil prices fell over 4% to their lowest levels in over three months.

Oil prices dropped significantly as President Trump and Iran's deputy foreign minister announced an initial deal to end the war and reopen the Strait of Hormuz. The agreement,…