By Zoila Palma: Oil prices plunged sharply today after Iran announced that the Strait of Hormuz is open to commercial shipping, triggering a broad rally in global financial markets.
The development followed a statement by Iran’s foreign minister indicating that vessels could resume transit during the ceasefire period.
Seyed Abbas Araghchi said in a post that “the passage for all commercial vessels through Strait of Hormuz is declared completely open” along a “coordinated route” set by Iran’s Ports and Maritime Organization. The announcement raised immediate questions about whether ships may be required to pay a toll, though no confirmation was provided.
NBC reports that energy markets reacted swiftly, with U.S. crude dropping 12% to nearly $83 per barrel and Brent crude falling more than 11% to around $88 per barrel. Heating oil futures declined 13%, while wholesale gasoline futures fell 7%, reflecting expectations of improved supply flows through the key shipping lane.
Financial markets also surged on the news. The S&P 500 rose 1% and the Nasdaq Composite gained 1.3%, both reaching new all-time highs. The Dow Jones Industrial Average jumped more than 800 points, while the Russell 2000 index climbed 1.7%. U.S. Treasury yields moved lower, with the 10-year bond yield falling to 4.23%, its lowest level since March 18.
European markets followed suit, with the Stoxx 600 index rising 1.2% and major indexes in France and Germany gaining more than 2%. European leaders cautiously welcomed the announcement.
The post International News: Oil prices plunge as Iran opens Strait of Hormuz, Global markets rally appeared first on Belize News and Opinion on www.breakingbelizenews.com.
By Zoila Palma: Oil prices plunged sharply today after Iran announced that the Strait of Hormuz is open to commercial shipping, triggering a broad rally in global financial markets. The development followed a statement by Iran’s foreign minister indicating that vessels could resume transit during the ceasefire period. Seyed Abbas Araghchi said in a post
The post International News: Oil prices plunge as Iran opens Strait of Hormuz, Global markets rally appeared first on Belize News and Opinion on www.breakingbelizenews.com.