Asian Stocks Advance on US-Iran Peace Deal; Oil Falls Below $75
Asian equities are set to rise after a US-Iran peace deal boosts confidence that the Strait of Hormuz will reopen, restoring oil flows and easing inflation. WTI crude extends its weekly decline, trading near $75 a barrel.
Asian stock markets are poised to open higher as a peace agreement between the United States and Iran lifts sentiment. The deal is expected to lead to the reopening of the Strait of Hormuz, a critical chokepoint for global oil shipments, which should restore normal oil flows and help ease inflationary pressures.
Crude oil prices continued their weekly slide, with West Texas Intermediate (WTI) falling toward $75 per barrel. The resumption of shipping through the waterway removes a key supply disruption risk, adding downward pressure on oil prices.
Improved risk appetite and lower energy costs are seen as supportive for global equities, particularly in Asia, where import-dependent economies stand to benefit from reduced fuel expenses.
Source: First Squawk