The United States lifted its blockade on Iran on Thursday as an interim deal to end a three-month war took effect. The agreement extends a ceasefire announced in April by 60 days to allow both sides to negotiate a final truce. Following the lifting of the blockade, oil tankers have started sailing through the Strait of Hormuz.
Financial markets responded to the interim pact with falling energy costs. Brent crude dropped as much as 1.6 percent and gasoline prices continued to decline as investors assessed progress toward ending the war in the Middle East.
Global stock markets also saw gains. U.S. stocks rebounded, with the Nasdaq gaining nearly 2 percent in a reversal from Wednesday's decline. Meanwhile, Asian stocks remained steady and key indices in Japan, South Korea, and Taiwan climbed.