Global equity markets surged after Iran announced the reopening of the Strait of Hormuz, easing geopolitical tensions and boosting investor confidence worldwide. The development led to a sharp decline in oil prices, encouraging a broad shift toward riskier assets.
In the United States, major indices posted strong gains. The Dow Jones Industrial Average rose approximately 1.8%, while the S&P 500 and the Nasdaq Composite each advanced more than 1%, supported by expectations of reduced inflationary pressure due to lower energy costs.
European markets followed suit, closing higher across the board. Germany’s DAX climbed around 2.2%, while France’s CAC 40 and Spain’s IBEX 35 gained between 1.9% and 2%. The UK’s FTSE 100 also ended in positive territory, though with a modest increase of about 0.7%, as declines in energy stocks weighed on the index.
Asian markets, however, delivered a mixed performance. In India, the Nifty 50 remained above the 24,350 level, while the BSE Sensex rose about 0.6% to close at 78,493, supported by relief for oil-importing economies. Japan’s Nikkei 225 fell 1.75%, and Hong Kong’s Hang Seng Index declined roughly 0.9%. China’s Shanghai Composite and Australia’s S&P/ASX 200 edged down slightly, reflecting profit-taking and lingering uncertainty.
