Major Asian stock markets experienced significant gains, while oil prices declined, driven by renewed hopes for ceasefire talks between the United States and Iran. US President Donald Trump claimed that Iranian officials had allegedly reached out to his administration and expressed a strong desire for a deal, sparking optimism among investors.

Trump's remarks provided a boost to markets: Japan's Nikkei 225 index rose by as much as 2.5%, and South Korea's KOSPI gained about 3.7%. Markets in Singapore, Hong Kong, and Shanghai also saw modest but positive increases. This rally followed gains on Wall Street, where the S&P 500 index finished up 1% overnight.

Concurrently, Brent crude, the global benchmark for oil prices, dipped nearly 1.5%, falling below $98 per barrel. However, this positive turn occurred despite the US regime following through on its threat to impose a naval blockade on Iranian ports. Analysts warn that this move is likely to exacerbate the energy shortage that is already roiling the global economy.

Iran has effectively halted shipping through the Strait of Hormuz since the conflict began, throwing the global energy market into disarray. According to maritime intelligence provider Windward, only 21 vessels transited the strait on Sunday, compared to roughly 130 daily transits before the war. The US military later clarified that the blockade would only apply to vessels entering and exiting Iranian ports, in an apparent scaling back of Trump's initial threat to fully close the critical waterway.

Source: www.aljazeera.com