Global stock markets across the United States, Europe, and Asia turned positive again amid Middle East conflicts after rumors emerged that Iran had contacted the United States seeking negotiations.
Although the conflict between the U.S., Israel, and Iran has not yet subsided, a New York Times report stated that Iran reached out to the United States hoping to negotiate an end to the dispute. This caused crude oil prices to ease, allowing global stock markets to recover. Investors remain hopeful that energy market volatility will be limited and that the situation will conclude swiftly.
U.S. Treasury Secretary Scott Bessent announced that the U.S. Navy has prepared secure routes for oil transportation through the Strait of Hormuz in case of necessity, which contributed to the drop in oil prices and the return of positive stock market performance.
Over the past two days, Asian stock markets have been highly volatile and shaken because South Korea and Japan heavily depend on energy imports from the Middle East. Thus, energy market instability caused Asian markets to decline rapidly.
The volatility in global oil prices also significantly affected U.S. and European stock markets, but they recovered after oil prices stabilized and declined.
Brent crude oil prices surged to $81.40 per barrel, the highest since January 2025, and are expected to decrease by about 4.3% in the future, similar to other energy markets that are also projected to decline.
Other investment markets were also affected. The yield on the U.S. 10-year government bonds rose to a two-week high, indicating investor concerns about inflation.
The U.S. dollar weakened against other currencies, prompting the Federal Reserve to hold interest rates steady to prevent further depreciation of the dollar.
Investors continue to watch for signs that the war will end and hope concerns about energy shortages will ease soon.
Read more:International News
Source:CNN