(Sharecast News) - Oil prices eased off highs on Tuesday after Donald Trump abandoned plans to impose a 20% charge on cargo shipments through the vital Strait of Hormuz.
At 1640 BST, Brent crude was up 0.6% at $83.83 a barrel and West Texas Intermediate was 0.6% higher at $78.62.

In a post on Truth Social, Trump said: "Based on highly productive conversations with Middle East leadership, I have decided to replace the 20% United States Reimbursement Fee with Trade and Investment Deals that the various Gulf States will be making into the United States. Those Investments will be MASSIVE but, at the same time, extraordinarily good for them, and their future.

"As everyone is aware, we have the largest Dollar Investment into the United States, of any Country in History, but these new Investments will make that Number even larger, and we will see Factories, Plants, and Equipment pour into the United States at Historic levels, which will create additional millions of High Paying AMERICAN Jobs! America is WINNING again, winning like never before""

Oil prices had risen to a four-week high after Trump announced on Monday that the US was reinstating the Iranian port blockade.

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