Markets Soar Amid Tentative Middle East Ceasefire

The financial markets reacted positively following US President Donald Trump's announcement of a provisional ceasefire in the Israel-Iran conflict, even as doubts linger about its stability. Stocks surged as oil prices dropped, alleviating fears of an Iranian blockade in the Strait of Hormuz.

Investors took comfort in Trump's statement, albeit the situation remained tense with Israel accusing Iran of violating the ceasefire by launching missiles into its airspace. The global oil market appeared well-supplied, encouraging optimism for further price reductions as geopolitical tensions eased.

Attention now shifts to the Federal Reserve as investors await any potential interest rate changes. A top Fed official expressed willingness to support rate cuts provided inflation remains under control. Market analysts are closely monitoring Fed Chair Jerome Powell's upcoming comments for further insight.

(With inputs from agencies.)