Daily brief
Global stock markets surged and oil prices plunged after the US and Iran reached a preliminary peace deal to reopen the Strait of Hormuz. The STOXX 600 hit a record high, Japan's Nikkei 225 soared, and the Dow and TSX closed at record highs. Bitcoin rallied to a two-week high, while the dollar hit a 10-day low. Analysts cautioned that a swift return of oil and gas flows is unlikely, and hundreds of ships remain stranded waiting for the strait to reopen. (ongoing coverage)
The ECB's Nagel warned that no inflation relief is in sight even if the strait reopens soon, while shipping companies like Hapag-Lloyd and Japanese firms remain cautious about resuming transit.
Iranian media reported that the US will release $12 billion in frozen Iranian assets under the deal, though analysts noted that the assets remain a sticking point.
Gold prices soared, and the rand and JSE rallied on the Iran peace deal, while China bonds emerged as a surprise haven as the Iran war reshaped portfolios.
The Philippines ruled out fuel prices returning to pre-Iran war levels, and energy experts warned of a slow recovery in oil and gas supply after the deal.