Global Markets Surge as U.S. Brokers Middle East Ceasefire
Global shares surged and the dollar slipped after President Trump announced a ceasefire agreement between Iran and Israel. Oil prices plunged following reduced concerns about supply disruptions. Market optimism spread as risk assets rallied, easing fears of a global growth downturn and encouraging dollar downtrend resumption.
Global markets witnessed a significant boost on Tuesday after U.S. President Donald Trump announced a ceasefire agreement between Iran and Israel, leading to a sharp decline in oil prices. The announcement alleviated fears of supply disruptions, sending oil prices into a steep fall.
In a statement on Truth Social, President Trump indicated the ceasefire would be effective within 12 hours, marking an end to recent hostilities. This was confirmed by senior officials from both Iran and Israel, with Prime Minister Benjamin Netanyahu agreeing to halt attacks if Iran ceased its aggression.
The easing of tensions around the strategic Strait of Hormuz had a ripple effect on global markets. The U.S. crude futures tumbled, and risk assets soared, with notable gains in the S&P 500, Nasdaq, and European markets. The dollar extended its decline as investors grew optimistic about the reduced global growth risks.
(With inputs from agencies.)
ALSO READ
Tensions Rise as Israeli Navy Intercepts Freedom Flotilla Vessel
Tensions Rise as Israeli Navy Intercepts Gaza-Bound Charity Ship
Tension at Sea: Israeli Military Boards Charity Ship
Israeli Forces Intercept 'Freedom Flotilla' Headed for Gaza
Israel says a Gaza-bound aid boat carrying Greta Thunberg and other activists has been diverted to Israel, reports AP.
Google News