President Donald Trump has announced the extension of the ceasefire with Iran until peace talks have progressed and concluded. The decision comes after a period of uncertainty regarding the status of negotiations between Washington and Tehran.
Market reactions shifted following the news. On Tuesday, U.S. stocks fell while oil and the dollar rose as investors reacted to signals that peace talks had not yet been confirmed. However, by Wednesday, U.S. stock futures climbed and the dollar wavered as sentiment was buoyed by the extension of the ceasefire.
Oil prices have held a two-day gain and remained near $100. This price level persists as the Strait of Hormuz remains closed and the United States continues its blockade on Iranian ports.