Asian and European markets moved higher Wednesday as oil prices declined more than 4%, influenced by reports of potential de-escalation in the conflict with Iran. Brent crude futures briefly fell below $100 a barrel, reaching $97.57, amid hopes for a ceasefire and resumption of oil exports from the Persian Gulf.
Stock indices saw gains, with the MSCI All Country equity index recording its largest rise in six weeks, reflecting investor optimism. The U.S. reportedly sent a 15-point framework for peace to Iran and is seeking a month-long ceasefire, though officials in Tehran have disputed claims of ongoing talks.
U.S. oil prices saw a partial recovery Thursday, as investors continue to assess the prospects for de-escalation and review the U.S. proposal. Overall market reaction indicates cautious optimism regarding a potential peace deal in the Middle East.