Asian and European stock markets rallied on Tuesday as energy prices eased after US President Donald Trump indicated that the US Israel war on Iran was “going to be ended soon.” Tokyo’s Nikkei 225 index surged over three percent, Hong Kong’s Nang Seng added 1.5 percent, and Seoul’s Kospi climbed more than six percent. Shai advanced a more cautious 0.5 percent.
European equities also posted gains, with Frankfurt’s DAX up 2.2 percent, Paris CAC 40 rising 1.7 percent, London’s FTSE 100 gaining 1.6 percent, and Milan increasing 2.5 percent. Energy markets saw relief as Brent crude and West Texas Intermediate oil prices fell about eight percent after spiking close to $120 per barrel due to Middle East supply fears, though prices remain roughly 20 percent above pre conflict levels. European natural gas prices tumbled around 15 percent, with the Dutch TTF benchmark trading near 48 euros per megawatt hour.
Despite these market recoveries, Iran vowed to block Gulf oil exports until the US Israeli strikes cease. The Islamic Republic’s Revolutionary Guards Corps stated that no oil would be exported to hostile nations until further notice. The announcement followed s on shipping that temporarily closed the strategic Strait of Hormuz.
Meanwhile, the aviation and energy sectors are feeling ongoing pressure. Scandinavian airline SAS announced a temporary increase in ticket prices due to soaring jet fuel costs, while Egypt raised domestic fuel prices by up to 30 percent, citing exceptional global energy pressures. G7 energy ministers are set to meet in Paris to discuss policy measures aimed at lowering global oil prices.
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