Global stock markets climbed on Monday after a US-Iran peace agreement boosted investor confidence and eased concerns over energy supply disruptions and inflation pressures.
Equities across Asia and Europe advanced, while US futures also pointed higher, as traders welcomed expectations that the deal could stabilise oil flows through the Strait of Hormuz and reduce volatility in energy markets.
At the same time, oil prices fell sharply on hopes that the agreement would restore supplies and lower energy costs, easing inflation expectations and reducing pressure on central banks to maintain tighter monetary policy.
Analysts said the market reaction reflected a broad “risk-on” sentiment, with investors moving into equities and other risk assets as geopolitical tensions appeared to cool.
Gold prices also edged higher, as weaker inflation expectations and a softer dollar supported demand for safe-haven assets.
