US stock futures recover, while Oil slumps as markets breathe sigh of relief on US-Iran ceasfire.
US stock futures are seeing a heavy jump Tuesday night, showing optimism for recovery in a market that is battered by war and widespread disruption of trade caused by Hormuz blockade.
S&P futures traded 2.3% higher and Dow Futures are up 2%. Tech-heavy Nasdaq futures are up nearly 3% at the time of writing at 9:30 p.m. on Tuesday.
The surge comes as U.S. President Donald Trump's administration and Islamic Republic of Iran agreed on a two-week ceasefire.
The deal was first announced by Pakistan prime minister Shehbaz Sharif; the country has been mediating the talks between the two warring nations.
https://x.com/CMShehbaz/status/2041665043423752651
The ceasefire, which has been confirmed separately by both Trump and Iran foreign minister Abbas Araghchi, extends to Lebanon, according to Sharif. Israel's position on this isn't immediately clear and PM Benjamin Netanyahu is yet to make a statement on the ceasefire.
Oil prices slumped significantly on the news. Brent futures are down 9.8% to $94.76. The trade of the commodity that is key to global markets has been disrupted by Iran's blockade of the Hormuz strait in response to the war.