Relief in financial markets after Iran ceasefire – but it is far from absolute | Richard Partington

Situation still volatile as Tehran and Washington issue conflicting messages about opening of Hormuz channel

A plunge in the oil price, stock market rally and renewed hopes for the global economic outlook. After the announcement of a two-week ceasefire in the Iran war, the relief in financial markets was palpable. But it is far from absolute.

For the past six weeks, the economic damage had been steadily mounting, as the effective closure of the strait of Hormuz by Tehran triggered the worst energy crisis of the modern era.