Markets rally, oil tumbles after US-Iran deal announcement
Stock markets across the Asia-Pacific region rallied sharply on Monday after the United States and Iran confirmed an agreement aimed at ending the conflict between Washington, Israel and Tehran.
Japan’s Nikkei 225 rose more than 5 percent in early trading, while South Korea’s KOSPI gained 5.7 percent. Taiwan’s TAIEX advanced 2.7 percent, and Australia’s S&P/ASX 200 climbed about 1.5 percent.
Investor optimism also lifted US stock futures, with contracts tied to the S&P 500 and Nasdaq Composite rising about 1 percent and 1.6 percent respectively.
Meanwhile, oil prices fell as concerns over disruptions to energy supplies eased. Brent Crude dropped more than 4 percent to around $83.70 a barrel following confirmation that the agreement includes the reopening of the Strait of Hormuz, a key route for global oil shipments.