Global markets jump and oil prices decline as Iran ceasefire agreement
reached
[April 08, 2026] By
YURI KAGEYAMA
TOKYO (AP) — Global shares surged in Wednesday trading, as oil prices
plunged after the U.S. and Iran agreed to a two-week ceasefire that
includes the reopening of the Strait of Hormuz.
France's CAC 40 added nearly 4.0% to 8,223.91 in early trading, while
the German DAX edged up 4.7% to 23,996.26. Britain's FTSE 100 gained
2.3% to 10,582.86. U.S. shares were set to drift higher with Dow futures
up 2.3% at 47,891.00. S&P 500 futures rose 2.5% to 6,824.00.
In Asia, Japan’s benchmark Nikkei 225 gained 5.4% to finish at
56,308.42. Australia’s S&P/ASX 200 jumped 2.6% to 8,951.80. South
Korea’s Kospi soared 6.9% to 5,872.34. Hong Kong’s Hang Seng surged 3.1%
to 25,893.02, while the Shanghai Composite added 2.7% to 3,995.00.
Benchmark U.S. crude sank $16.47 to $96.48 a barrel. Brent crude, the
international standard dropped $13.79 to $95.48 a barrel. Natural gas
futures declined 5%.
The drops reversed some of the rise in oil prices, following the start
of the war, which had effectively blocked passage through the strait
that's a crucial route for global supplies.
“Yet the mood remains one of cautious optimism rather than outright
celebration. The ceasefire is only two weeks long, and markets will be
watching closely to see whether shipping through the Strait of Hormuz
normalizes as promised and whether the fragile truce can pave the way
for a more durable peace agreement,” said Tim Waterer, chief market
analyst at KCM Trade.
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Currency traders work at the foreign exchange dealing room of the
Hana Bank headquarters in Seoul, South Korea, Wednesday, April 8,
2026. (AP Photo/Ahn Young-joon)
 Late Tuesday, Trump said he was
holding off on his threatened attacks on Iranian bridges, power
plants and other civilian targets. Iran’s foreign minister said
passage through the strait would be allowed for the next two weeks
under Iranian military management.
In currency trading, the U.S. dollar fell to 158.35 Japanese yen
from 159.52 yen Wednesday. The euro cost $1.1671, up from $1.1597.
The dollar usually becomes a safe haven during geopolitical
uncertainty, so the ceasefire deal worked to lessen that appeal.
But analysts warned against too much optimism.
"There is a reason to be optimistic, but it is still too early to
tell, because, as you know, after all, it is Trump,” said Takashi
Hiroki, chief strategist at MONEX.
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