President Donald Trump announced a two-week suspension of planned military strikes on Iran, contingent on Tehran’s complete and immediate reopening of the Strait of Hormuz. The pause follows diplomatic outreach and a 10-point framework proposed by Iran for a conditional ceasefire and defensive stand-down.

WTI crude futures plunged nearly 13% to $86.21 a barrel following the suspension, while S&P futures rallied over 2% in after-hours trading. The abrupt shift reflects eased fears of conflict-related supply disruptions in the world’s busiest oil transit channel.

The sharp decline in oil prices may translate into lower costs for Colgate-Palmolive’s packaging materials and transportation expenses, as many resin and freight rates are tied to crude benchmarks. Reduced input costs could enhance the company’s margin profile in upcoming quarters.