Global Oil Prices Rebound After Initial Ceasefire Drop Amid Hormuz Concerns

A conditional two-week ceasefire has been agreed upon between the United States and Iran, following mediation efforts by Pakistan. The agreement, announced by US President Donald Trump and confirmed by Iranian Foreign Minister Abbas Araghchi, stipulates that Iran will ensure the complete and safe opening of the Strait of Hormuz if attacks against the country are halted. This development, effective April 8, 2026, has led to a dramatic shift in global markets. Crude oil prices plunged, with Brent crude falling approximately 15.9% to around $92.30 per barrel and US-traded oil declining about 16.5% to roughly $93.80 per barrel. Concurrently, global stock market indices and US stock futures experienced a significant rally, reflecting eased concerns over potential supply disruptions.