Oil fell on Wednesday after a report that the International Energy Agency proposed the largest oil stockpile release in its history. The dollar went down.

The release will surpass the 182 million barrels of oil that IEA member countries put on the market in 2022 when Russia launched its full-scale invasion of Ukraine, the Wall Street Journal reported.

On Tuesday, oil suffered its biggest one-day slide in four years as mixed signals from the Trump administration on the Iran war added to volatility in markets. Volatility increased after US Energy Secretary Chris Wright mistakenly posted – and later deleted – a message that the US Navy had taken an oil tanker through the Strait of Hormuz, only for the White House to admit no such operation had taken place.

Equity markets also experienced volatility, with the S&P 500 index fluctuating between gains and losses, to end the session down just 0.2%. Asian shares rose 0.8% at the open, while sentiment for artificial intelligence trades got a boost as shares of Oracle Corp. jumped 8% in after-market trading on better-than-expected earnings.

The swing in energy markets added pressure on Treasuries as bond traders began betting more on losses, dumping bullish futures positions on inflation worries from a surge in oil. The Bloomberg Dollar Spot Index held its losses since the New York session.

“Traders continue to be overwhelmed by sharp price action and extreme volatility in crude, with headlines leading to sharp intraday swings,” said Rebecca Babin, senior energy trader at CIBC Private Wealth Group. “It’s like trading the market in the fog of war, reacting in real time as events unfold, rather than moving in an orderly fashion.”

The conflict, in its second week, showed no signs of easing as President Donald Trump warned Iran against planting mines at key energy chokepoints, news reports suggesting it was either preparing to, or had already begun to do so. Meanwhile, the Group of Seven countries asked their main energy agency to draw up scenarios for releasing emergency oil reserves.