Dow closes up more than 1,300 points after US-Iran ceasefire
ABC News • • business
Key Points:
- U.S. stock markets surged significantly on Wednesday, with the Dow Jones rising 2.8%, the S&P 500 up 2.5%, and the Nasdaq increasing 2.8%, following the announcement of a two-week ceasefire between the U.S. and Iran.
- The ceasefire agreement includes Iran allowing tankers to pass through the strategic Strait of Hormuz, contingent on coordination with Iran's military, potentially easing a severe global oil shortage.
- U.S. oil prices dropped nearly 15% to around $96 a barrel but remained substantially higher than pre-war levels near $67 a barrel, reflecting ongoing market uncertainty.
- Conflicting statements emerged regarding nuclear commitments, with President Trump denying uranium enrichment while Iran’s security council acknowledged acceptance of enrichment in its plan.
- Despite the ceasefire, tanker movements through the Strait of Hormuz remain suspended following Israeli attacks on Lebanon, maintaining some uncertainty about the resumption of oil flow through this critical route.
