Oil prices tumbled more than 15% and global stock markets surged Wednesday after President Trump announced a conditional two-week ceasefire with Iran, pulling back from his threat to destroy Iranian civilization just hours before his own deadline.
Brent crude oil plunged to below $92 per barrel while US crude fell to under $94, marking the steepest daily decline since the COVID-19 pandemic. Stock markets rallied worldwide, with the Dow Jones jumping over 1,000 points and European indices posting gains of 3-5%.
I agree to suspend the bombing and attack of Iran for a period of two weeks... subject to the Islamic Republic of Iran agreeing to the COMPLETE, IMMEDIATE, and SAFE OPENING of the Strait of Hormuz
Donald Trump — Social media post
The ceasefire agreement came less than 90 minutes before Trump's Tuesday evening deadline, when he had threatened that "a whole civilisation will die tonight" without Iranian compliance. Iran's Foreign Minister Abbas Araghchi responded that Tehran would accept the ceasefire if attacks were halted, confirming safe passage through the strait would be possible.
The Strait of Hormuz, through which roughly 20% of global oil flows, has been effectively blockaded since the US-Israeli attacks on Iran began February 28. The waterway's closure sparked a global energy crisis that pushed gasoline prices above $4 per gallon in the United States and severely disrupted Middle Eastern oil and gas supplies.
NPR frames the story through the lens of market volatility and investor uncertainty, emphasizing the whiplash effect of Trump's rhetoric on global markets. The outlet focuses on economic impacts over geopolitical strategy, reflecting American concerns about domestic energy costs and market stability during the crisis.