June WTI Crude Oil futures experienced a sharp pullback, dropping over 4% to create an inside range day. The decline followed confirmation from the Pentagon that recent Iranian attacks fell below the threshold for resuming major combat, keeping the existing ceasefire intact. This development eased the geopolitical risk premium that had driven the prior session's rally, prompting traders to step back. Despite the de-escalation, the Strait of Hormuz remains functionally closed, maintaining broader supply disruptions. Meanwhile, high energy prices are sparking discussions of demand destruction. Goldman Sachs noted a rapid depletion of accessible buffers for refined products like naphtha and jet fuel, and Chevron highlighted concerns over regional fuel shortages.