U.S. Futures Surge, Asia Stocks Jump, Oil Plunges After Trump Announces Cease Fire With Iran
U.S. stock futures jumped and oil prices fell after President Trump late Tuesday announced a two-week ceasefire and possible longer peace deal with Iran.
Futures contracts pointed to a 2 percent rise in the Dow Jones Industrial Average. S&P futures rose 2.3 percent and Nasdaq futures rose nearly 3 percent.
Oil prices have fallen sharply. Brent crude futures fell about 13.5% to $94.50 a barrel. West Texas Intermediate futures fell 14.7 percent to $96.40 a barrel. U.S. natural gas prices fell 3.6 percent. U.S. home heating oil futures fell more than 18 percent.
Stocks in Asia rebounded on the news. Japan’s Nikkei index rose five percent. Australia’s S&P/ASX index rose 2.65 percent. South Korea’s Kopsi index jumped 5.6 percent. Futures on Hong Kong’s Hang Seng Index rose 2.6 percent.
Trump said the ceasefire was “subject to the Islamic Republic of Iran agreeing to the FULL, IMMEDIATE and SAFE OPENING of the Strait of Hormuz.”
Iranian Foreign Minister Abbas Araghchi, in a message on X on behalf of the country’s Supreme National Security Council, said Tehran’s armed forces would “cease their defensive operations.” THE The Wall Street Journal reported that Iran’s Supreme National Security Council said peace talks with the United States would begin on Friday in Islamabad. He also indicated that the ceasefire could be extended if necessary.
