US stock markets experienced significant gains on Wednesday. By the close of trading in New York, the Dow Jones Industrial Average had climbed to 47,910 points, marking a 2.9 percent increase from the previous day. Earlier in the session, the broader S&P 500 was up 2.5 percent at approximately 6,783 points, while the technology-focused Nasdaq Composite reached around 24,903 points, up 2.9 percent.
The markets appeared relieved by the two-week ceasefire agreement between the United States and Iran. However, the Strait of Hormuz remains blocked. Iranian Foreign Minister Abbas Araghtchi utilized the platform X to state that the conditions for the ceasefire are clear: “The US must decide-either a ceasefire or the continuation of war through Israel. Both cannot happen”. He referenced a tweet from Pakistani Prime Minister Shehbaz Sharif announcing the truce.
Araghtchi also insisted on an end to Israeli attacks in Lebanon, writing, “The world is watching the massacres in Lebanon. Now the US is at the helm, and the world is watching to see if they will fulfill their commitments”. Separately, the US reiterated its demand for Iran to reopen the Strait of Hormuz. Both former US President Donald Trump and Israeli Prime Minister Benjamin Netanyahu dispute that Lebanon is part of the ceasefire arrangements.
In currency markets, the European common currency strengthened by Wednesday evening; one euro exchanged for 1.1662 US dollars, meaning one dollar bought 0.8575 euros.
Gold prices managed to benefit, as fine ounces were traded at $4,726 by the evening, representing a gain of 0.5 percent. This equates to a price of 130.29 euros per gram.
Oil prices, meanwhile, dropped sharply. A barrel of North Sea Brent crude oil cost $95.97 by Wednesday evening, according to German time, which was a decrease of 12.2 percent, totaling 1,330 cents, compared to the previous day’s close.